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Major SECURE 2.0 Guidance Issued: Extra Credit for Repaying Qualified Student Loans

Seyfarth Synopsis: On August 19, 2024, the IRS issued Notice 2024-63 (the “Notice”) providing guidance for plan sponsors that wish to provide matching contributions based on eligible student loan repayments made by...more

Washington Saves; Washington State’s New State-Mandated Retirement Program

On March 28, 2024, Washington State’s Governor, Jay Inslee, signed into law a bill that creates a new state-run retirement program called “Washington Saves.” Under the program, “covered employers” must give “covered...more

SECURE 2.0: Guidance on Exception to Early Distribution Penalty for Terminally Ill Individuals

Seyfarth Synopsis: As previously reported here, on December 20, 2023, the IRS issued Notice 2024-2 (the “Notice”) providing guidance on several outstanding questions related to provisions under SECURE 2.0. This blog post...more

The IRS’s Grab Bag of SECURE 2.0 Guidance is Here!

Seyfarth Synopsis: Adding to the holiday joy of employee benefits practitioners nationwide, yesterday the IRS issued guidance on several outstanding questions related to SECURE 2.0. At this time of year, we are especially...more

The Benefits of Flying into SFO; Employees Have Free Family Health Insurance – For Now

Seyfarth Synopsis: In August, the Ninth Circuit Court of Appeals revived a challenge by Airlines for America (“A4A”), to San Francisco’s Healthy Airport Ordinance (the “Ordinance”), which requires airlines that use the San...more

A Reminder – Washington Cares Fund Premium Payments To Begin July 2023

Seyfarth Synopsis: As a reminder to companies with workers in Washington State, payroll tax withholding under the Washington State Long Term Care Act will begin on July 1, 2023, unless an employee qualifies for an exemption....more

Time is On Our Side 2.0; More Time to Amend for CARES Act Optional Amendments

Seyfarth Synopsys: On September 26, 2022, the IRS issued Notice 2022-45, extending the deadline for amending retirement plans and individual retirement accounts (“IRAs”) for optional changes under the CARES Act....more

Class Action Lawsuit Filed Against Washington State’s Long Term Cares Act - Dismissed!

Seyfarth Synopsis: A federal judge has dismissed a class action lawsuit that challenged the Washington Long-Term Cares Act (“Cares Act”), ruling that because the Cares Act is not established or maintained by an employer...more

Supreme Court Asked to Assess Whether City of Seattle’s Hotel Workers Insurance Ordinance Is Preempted.

Seyfarth Synopsis: A City of Seattle ordinance requires large hotels and related businesses to give workers either health insurance coverage or additional compensation. Earlier this month, the ERISA Industry Committee (ERIC)...more

It’s Official: Governor Inslee Signs Bills to Delay and Modify Washington’s Long Term Care Act

Seyfarth Synopsis: After announcing a moratorium on the State’s collection of the Washington Cares Fund long term care (“LTC”) payroll tax from employers on December 17, 2021, Governor Inslee signed into law House Bills 1732...more

An Early Holiday Present for Washington State Employers; Long Term Care Act Payroll Tax Moratorium Announced

Seyfarth Synopsis: On Friday, Washington State Governor, Jay Inslee, announced a moratorium on the State’s collection of the Washington Cares Fund long term care (“LTC”) payroll tax. The Washington Cares Fund was originally...more

Class Action Lawsuit Filed Against Washington State’s Long Term Care Act

Seyfarth Synopsis: A class action lawsuit has been filed against Washington State’s Long-Term Services and Supports Trust Act (the “Act”) that requires each worker in Washington to contribute $0.58 per $100 (0.58%) of wages...more

Hello… Goodbye… Hello Again: New IRS FAQs Discuss Rehires and Bona Fide Retirements In Light of COVID-Related Labor Shortages

Seyfarth Synopsis: The IRS recently sought to reassure employers that they will not jeopardize their retirement plan’s tax qualified status if they permit employees who have a bona fide separation from service to take a...more

Ninth Circuit Rules – State Pension Mandate Not Preempted Even Though An Employer Chooses Not To Establish ERISA Plan

Seyfarth Synopsis:  The Court of Appeals for the Ninth Circuit has once again upheld against an ERISA preemption challenge, a State private sector benefits mandate, notwithstanding that ERISA provides that the decision to...more

Don’t Look Now, But Is That A New SECURE Act On the Horizon?

Seyfarth Synopsis: The SECURE Act, passed at the end of 2019, significantly altered the retirement landscape. Now, proposed legislation, “SECURE Act 2.0,” sets out to make even more changes. As before, several of the proposed...more

Do You Have Employees in Washington State? Take Note: New Long-Term Care Payroll Tax Goes Into Effect January 1, 2022

Seyfarth Synopsis: In an effort to plan for the projected long-term care needs of its residents, State of Washington passed the Long-Term Services and Supports Trust Act (SHB 1323) requiring each worker in Washington to...more

Plop, Plop, Fizz, Fizz – Relief For Safe Harbor Plans Reducing or Suspending Contributions in 2020

Seyfarth Synopsis: Due to the significant economic impact of COVID-19 on businesses, many plan sponsors would like to reduce or suspend contributions to safe harbor 401(k) plans this year. Normally, mid-year changes to safe...more

I’m Ready for My Close-Up, Mr. DeMille; the IRS Now Permits Remote Witnessing of Participant Elections

Seyfarth Synopsis: In response to immediate requests from participants for tax-favored coronavirus-related distributions (“CV Distributions”) and loans, as described in more detail in our prior post, and participants who want...more

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