Employers seem to be more comfortable with the increased regulations of the 403(b) retirement vehicle that took place in 2009. As such, industry insiders say 2014 is shaping up to be one of the busiest for these plans yet, according to levels of request for proposal activity and contract consolidations.
The 2009 adjustments to 403(b)s which are tax-deferred, defined contribution retirement savings programs available to employees of public schools, non-profit entities and some clergy members were the first in more than 40 years. They led to a significant increase in responsibility for employers that use them and concerned some employers about increased oversight and penalties, explains Thomas J. Scalici, CEO at Bethlehem, Penn.-based Cornerstone Advisors Asset Management Inc.
