Attention business owners: Does your qualified retirement plan comply with new regulations?

This summer marks an important new development for business owners offering qualified retirement plans to their employees.  The U.S. Department of Labor (DOL) is enacting measures to help employees better understand the costs deducted from their retirement plan accounts.  Specifically, the new laws require information be disclosed regarding fees and expenses deducted from the individual accounts of employees, the qualified plan participants.  With these new rules, plan participants will be more aware of previously hidden costs and able to make more informed decisions about their retirement.

While a plan’s investment advisor may provide the required information to plan participants, the ultimate responsibility for the cost information disclosure lies with the business owner who sponsors the plan for their employees.  In addition, there are several items sponsors need to consider including changes in IRS filings, plan disclosure content, and educational information now required by the DOL.  The following article from the Society of Human Resource Management provides a thorough checklist of items to be considered when the new laws take effect.

Read the full article:  A Checklist for Participant Fee Disclosures Effective in 2012 to learn more…