Employee Benefits Blog

IRS Issues Relief for Certain “Closed” Defined Benefit Plans

In Notice 2014-5, the IRS provided temporary relief from the Code’s nondiscrimination rules for certain defined benefit plans that are closed to new participants.  (This is sometimes referred to as a “soft freeze.”). The temporary relief allows employers who sponsor a closed defined benefit plan and a defined contribution plan to comply with Code’s nondiscrimination […]

January 31, 2014 | 1 min read | Tagged: defined benefit plans, frozen plan, IRS, nondiscrimination, qualified retirement plans

AM

Anne M. Meyer Partner

Public Companies Should Consider Shareholder Reapproval of Section 162(m) Performance Compensation Plans Approved in 2009

As reported in Part 1 of our End of Year Plan Sponsor “To Do” Lists, Section 162(m) of the Internal Revenue Code limits the deduction a public company may take for compensation payable to “covered employees” to $1,000,000 per year. “Performance-based compensation” that meets the requirements of Section 162(m) is not subject to this limitation. […]

January 20, 2014 | 1 min read | Tagged: Executive Compensation, Incentive Plans, Performance-Based Compensation, Public Company, Section 162(m)

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Greg Gautam Partner

IRS Announces 2014 Retirement Plan Limits

On October 31, 2013, the IRS announced the cost-of-living adjustments that will affect the dollar limitations for pension and other retirement plans for the 2014 tax year.  Notably, the $17,500 annual contribution limit for employees who participate in 401(k) plans remains the same for 2014. Maximum   Qualified Retirement Plan Dollar Limits 2013 2014 Limit […]

January 15, 2014 | 1 min read | Tagged: 401(k), IRS, qualified retirement plan limits, qualified retirement plans

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Greg Gautam Partner