Harkin Unveils USA Retirement Funds Act

Anne M. Meyer • February 19, 2014

Senator Tom Harkin (D-IA) recently unveiled his plan to improve the private retirement system.  Senator Harkin’s proposal was the third recent proposal targeting retirement plan savings.  President Obama introduced his myRA program during the State of the Union address and Senator Susan Collins (R-ME) and Senator Bill Nelson (D-FL) introduced the Retirement Security Act of 2014 on January 29.

Senator Harkin’s bill, the Universal, Secure, and Adaptable (USA) Retirement Funds Act of 2014 (“USA Retirement Funds”), proposes to offer payroll deductions, particularly to workers who do not have access to employer-provided retirement plans.  Under Senator Harkin’s bill, workers would be automatically enrolled in the program at six percent of pay and could contribute up to $10,000 pre-tax per year.  Employers also would be given the option to contribute on behalf of employees, up to $5,000 per year per employee.  The proposal calls for the USA Retirement Funds to be privately-run retirement plans approved and overseen by the Department of Labor.  Unlike many traditional Section 401(k) plans, the USA Retirement Funds would provide for a benefit to be paid out over the course of a participant’s life, with survivor benefits and spousal protections, like a traditional pension plan.

Senator Harkin’s legislation also proposed changes to defined contribution plans including expanding the availability of multiple employer plans and requiring employers to provide employees with annual illustrations of their retirement account  balances as lifetime income streams.  The Department of Labor also has issued an advance notice of proposed rulemaking on lifetime income illustrations.

You can access the two page summary of Senator Harkin’s bill by clicking here.

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By Mardy Gould • May 24, 2024
Employee burnout has become an epidemic in today’s modern workplace. So much so that the World Health Organization (WHO) officially recognizes it as an “occupational phenomenon.”1 While many used to consider mounting workplace stress an individual employee problem, these days, it’s become an employer’s responsibility to prevent burnout before it hurts productivity and business performance—not to mention your employees’ physical and mental health. Luckily, you can prevent burnout from affecting your workforce in several ways. This article will explore the causes and signs of employee burnout and the steps you can take to create a positive work environment where employees feel safe from toxic stress levels.

Form 720 and PCORI fee FAQs

By Mardy Gould • May 23, 2024
If you're a small business owner, you may have heard of the acronym PCORI and the fees that come with it. But what is PCORI, and how does it apply to your organization? Under the Affordable Care Act (ACA), sponsors of self-insured health plans must pay a fee to fund the federal Patient-Centered Outcomes Research Institute (PCORI). PCORI is an independent organization the ACA created to conduct research to help healthcare consumers make better decisions for their specific needs and outcomes. It also performs research related to clinical effectiveness. Employers offering a self-insured medical reimbursement health plan, such as a health reimbursement arrangement (HRA), must pay this fee by July 31 each year via Form 7201. This fee was initially set to expire in 2019, but Congress extended it through September 30, 20292, due to the Further Consolidated Appropriations Act of 20203.
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