The U.S. Department of Labor (DOL) recently filed an amicus brief to clarify the use of forfeited funds under the Employee Retirement Income Security Act (ERISA). This brief aims to provide guidance on the fiduciary responsibilities associated with managing forfeited amounts in retirement plans. The DOL emphasized that these funds must be used in a manner consistent with the best interests of plan participants and beneficiaries. The clarification helps ensure that fiduciaries understand their duties when handling forfeited funds, ultimately protecting the integrity of retirement plans and safeguarding participants’ interests. This intervention signals the DOL’s commitment to maintaining robust regulatory standards and promoting responsible management of retirement assets. As the landscape of retirement planning evolves, such clarifications are essential for aligning fiduciary practices with the legal and ethical expectations set forth by ERISA.
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Read the complete article here: http://www.dol.gov/newsroom/releases/ebsa/ebsa20260130