Since 2019, three major laws—the SECURE Act (2019), the CARES Act (2020), and SECURE Act 2.0—have introduced numerous mandatory and optional changes to employer-sponsored retirement plans, many of which are already in effect. Plan sponsors must comply with these rules and adopt necessary amendments by the December 31, 2026 deadline, with legal guidance recommended to ensure full compliance.

On March 30, the Department of Labor (DOL) proposed new regulations to expand 401(k) designated investment alternatives (DIAs) to include alternative assets while providing a process-based safe harbor to reduce fiduciary litigation risk, following President Trump's 2025 Executive Order aimed at democratizing access to alternatives like private equity and digital assets for retirement plans. The rule outlines six factors fiduciaries must consider—performance, fees, liquidity, valuation, among others—with detailed examples to guide prudent selection of DIAs under ERISA, though questions remain about the safe harbor's effectiveness in curbing long-standing litigation.

The Department of Labor’s proposed rule on selecting 401(k) and 403(b) investments emphasizes a process-focused, asset-neutral framework, reinforcing that fiduciary prudence is based on decision quality rather than investment outcomes. The rule highlights disciplined oversight, documentation, and familiar fiduciary principles without singling out specific asset classes or strategies.

The Department of Labor has reverted to the longstanding 1975 five-part test definition of an “investment advice fiduciary” under ERISA as of March 20, 2026, vacating recent attempts to expand fiduciary standards, including the Biden-era Retirement Security Rule. This reversion clarifies that one-time rollover advice generally is not fiduciary advice under ERISA, reducing compliance burdens for plan sponsors and service providers, who must still consider SEC Regulation Best Interest and monitor fiduciary status carefully.

Employee Stock Ownership Plans (ESOPs) serve as effective tools for business succession and employee ownership but must adhere to strict regulations under the Employee Retirement Income Security Act of 1974 (ERISA), limiting their ability to operate like typical corporate buyers or sellers.

The Treasury Department and IRS released proposed rules clarifying how Trump accounts, a new private savings vehicle for eligible children born from 2025 to 2028, can be opened and how a one-time $1,000 government "pilot program" contribution is deposited into these accounts. The guidance sets election procedures, prioritizes authorized individuals who can open accounts, defines eligible children, and outlines the special tax treatment of the pilot contribution, while deferring details on employer plans and other account aspects.

Retirement plan committee meeting minutes, often overlooked as mere administrative tasks, have become crucial tools for plan sponsors to manage fiduciary responsibilities amid increasing retirement plan litigation. Properly documented minutes can significantly support plan governance and legal defense.

Many employers provide pre-tax benefits like health insurance premiums and FSAs, assuming payroll deductions suffice, but often overlook that these benefits typically must be offered according to specific plan rules. This critical requirement is essential for proper administration and compliance.

Nearly 20 years after Internal Revenue Code Section 409A redefined nonqualified deferred compensation rules, many employers should conduct compliance reviews to ensure plan administration matches written documents and address potential tax risks, as even minor errors can trigger significant penalties. Revisiting and updating deferred compensation and severance plans, along with proactive compliance practices, can help prevent costly issues before audits or disputes arise.

The Department of Health and Human Services has delegated enforcement authority for 42 CFR Part 2, protecting substance use disorder treatment record confidentiality, to the Office for Civil Rights, requiring covered entities to update their HIPAA Privacy Policies by February 16, 2026. These updated rules, effective August 25, 2025, allow OCR to impose penalties for noncompliance, while separate HIPAA updates related to reproductive health care were vacated following a federal court ruling.