Tag: defined contribution plan

What Employers Need to Know When Employees Seek Loans, Withdrawals from Retirement Plans

By New Hampshire Employment Law Letter Dec 4, 2009 HR Hero Line

Updated: Dec 4, 2009

by Douglas R. Chamberlain When facing financial difficulties, employees often look to their retirement plans as a possible source of needed funds. Many plans offer participant loans or permanent withdrawals, the latter generally on a hardship basis. However, plan loans and withdrawals can jeopardize the employee’s retirement benefits, and both are subject to complex rules […]

Retirees Win Right to Sue for Fund Mismanagement

By riell Oct 10, 2008 HR Hero Line

Updated: Oct 10, 2008

In a major ruling, the First U.S. Circuit Court of Appeals held that employees who retire and receive lump-sum distributions from their company’s defined-contribution plan, such as a 401(k), have the right to sue the administrators of the plan if they don’t believe their moneys were managed wisely. As our population ages and our economy […]