Monday, December 4, 2017

DOL Delays Fiduciary Rule

On Monday, November 27, 2017, the Department of Labor (DOL) announced that some key provisions of the fiduciary rule will be extended for 18 months.

The fiduciary rule, in its most basic context, requires brokers and advisors to act in the best interests of their clients who have retirement accounts, including IRAs and rollovers from qualified retirement plans, including 401(k) and 403(b) plans.  The DOL first proposed the regulations in October 2010 but withdrew them in 2011 after opposition from the financial services industry as well as some members of Congress.  The regulations were reintroduced in 2015 with the final rule becoming effective June 7, 2016.  Compliance with the rules surrounding broker conduct and disclosure was delayed until April 10, 2017.  A transition period for compliance with some of the provisions was put in place from April 10, 2017 until January 1, 2018.  This latest delay will extend implementation of the enforcement provisions of the rule until July 1, 2019.  During this now extended transition period, fiduciaries will be required to meet the Impartial Conduct Standards, which requires that they receive only reasonable compensation, make no misleading statements, and act in their clients’ best interest.  Clearly, the path of these regulations has been arduous and the recent delay only makes it more so.

Friday, December 1, 2017

Key Retirement and Employee Benefits Compliance Reminders for December

Due December 1st

  • Deadline for participant notices, including safe harbor notice, QDIA notice, automatic contribution arrangement notice.

Due December 15th 

  • Extended deadline for distributing Summary Annual Report to participants.

Due December 31st

  • Corrective distributions for failed ADP/ACP test for 2016 (10% excise tax applies).
  • QNEC contributions due for failed ADP/ACP test for 2016.
  • RMDs due (except for first time qualifying participants).
  • Last day to adopt discretionary plan amendments.
  • Deadline to convert or remove safe harbor status for 2018 plan year.
Download the full 2017 Retirement and Employee Benefits Compliance Calendar.

If you have any questions or would like to begin talking to an advisor, please get in touch by calling (855) 882-9177 or e-mail us at

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