Conflict of interest or fiduciary rule: A plan sponsor’s Q&A
INSIGHT ARTICLE |
After years of proposed regulation issuance, comment periods, drafting and anticipation, the Department of Labor (DOL) finally published new final guidance regarding the definition of “fiduciary” on April 8, 2016. It is important for plan sponsors to understand the reasoning behind, and the scope of, the final rules.
This Q&A is meant to assist you in understanding the regulations and how they pertain to you, your plan and your participants. Key questions include:
- Why did the DOL issue these new rules?
- Who are the primary targets of the new rules?
- Does our plan fall under the new rules?
Retirement plan sponsors will need to comply with a majority of the requirements by April 10, 2017. Do not wait to assess where your organization’s 401(k) is in regards to the new regulation.