Here’s the irony of the tax saving incentive. If it’s wildly successful and leads to very large retirement accounts, the required minimum distributions at retirement may place the now retired employee in a higher tax bracket than the one experienced while working.
Tag "Donny Gamble"
![Should A 401k Plan Sponsor Take On The Additional Fiduciary Liability Associated With Retirees?](https://fiduciarynews.com/wp-content/uploads/2021/10/pudarenje-1326440-660x395-1-505x306_c.jpg)
The decision to retain and service company retirees appears (at first blush at least) to be a no-brainer. But that includes a very important assumption.
![Do 401k Plan Sponsor Have Fiduciary Responsibilities For Employees In Retirement?](https://fiduciarynews.com/wp-content/uploads/2021/10/drawing-group-1437069-660x395-1-505x306_c.jpg)
If you think the web of fiduciary duties is complex in a 401k plan that focuses on getting employees to save for retirement, imagine how much more intricate it becomes if the plan also has to cater to retired employees.