Blue Ridge ESOP Associates Industry News

As we approach the end of the calendar year, it is a good idea to start thinking about getting your Required Minimum Distributions (RMDs) paid out. For ease of process some clients will include RMD payments along with their normal distribution processing for the year. For others, these payments may be processed later in the year, for reasons such as capturing newly retired employees eligible for their first RMD payment. In any case, it is important to review your plan to ensure all necessary RMD payments have been taken care of.

IRS/DOL Corner

ESCA is pleased to highlight data from a new study by the National Center for Employee Ownership (NCEO) that finds employee stock ownership plans in private companies are instrumental in boosting retirement security, increasing workplace productivity, and establishing pride of ownership among workers.

The ESOP Association (HQ) in DC will be providing tons of material via social media throughout the month. You may want to consider:

On August 13^th, a significant pro-ESOP bill was signed into law. The Main Street Employee Ownership Act (S. 2786) was signed into law as part of the Senate’s National Defense Authorization Act (NDAA).

A Summary Plan Description (SPD), is a shortened version of the full Plan Document, written in a way to be easily understood by the average participant. It explains all the specific information on who is eligible to be a participant, when they can enter the plan, and how they will get contributions into their ESOP account. Additionally, it addresses the number one question participants usually have, which is how and when they can start receiving their benefits from the ESOP. Other items usually disclosed in the SPD are basic information about the plan sponsor, and action steps for questions or complaints about the ESOP.

Blue Ridge ESOP Associates is committed to staying active in the ESOP Community.  Several of our employees will be doing presentations and attending conferences over the next few months.