GASB 67 and GASB 68: What’s the Difference?

Government employee standardizing pension plan reporting in compliance with GASB 67 and GASB 68.

Key Points Governmental Accounting Standards Board Statement No. 67 (GASB 67) – Financial Reporting for Pension Plans Governmental Accounting Standards Board Statement No. 68 (GASB 68) – Accounting and Financial Reporting for Pensions GASB 67 and GASB 68 changed the way public pension plan data is measured and reported, effectively replacing previous statements GASB 25…

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What’s the Difference Between Medicare Supplement and Medicare Advantage?

Medical professional examines a patient with Medicare Advantage

KEY POINTS Original Medicare covers a majority of basic health necessities, but not everything. Medicare Supplement (also known as “Medigap”) was designed as a supplemental health insurance policy to cover additional out-of-pocket expenses that Original Medicare doesn’t cover. Medicare Advantage (also known as Part C), is a private insurance alternative to Original Medicare, which can…

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Social Security and Government Pension Offset Simplified

Retired couple who used to be a teacher and CPA enjoying coffee.

KEY POINTS Government Pension Offset (“GPO”) adjusts Social Security spousal or survivor’s benefits for those who receive “non-covered” pensions. GPO reduces Social Security spousal and survivor benefits by 2/3rd of the monthly pension payment from a non-covered government job. The bipartisan Social Security Fairness Act (“SSFA”) bill, designed to eliminate both GPO and the Windfall…

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What Happens if I Don’t Name a Beneficiary? Who Gets My 401(k)?

A family of three enjoys a nice day sitting in the grass at a park

KEY POINTS Neglecting to name a beneficiary means your assets may be designated to your estate and become subject to probate. Plan ahead to review your beneficiary information once per year and when major life changes happen. Avoid subjecting your loved ones to the probate process by designating both primary and alternative beneficiaries. You may…

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Required Minimum Distributions are Back. Tell a Friend.

Mid-aged man helps older woman determine her required minimum distribution amounts for 2021

Key Points The one-year waiver of required minimum distributions (RMDs) for retirement accounts that were authorized under the CARES Act is over. The SECURE Act in 2019 changed some rules regarding RMDs which will now be in effect. Those that are 72 years and older will need to start taking their RMDs this year to…

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House Committee Advances Single-Employer Pension Plan Provisions for the New COVID-19 Relief Package

Close up of two people reviewing financial documents

On February 12, 2021, the House Ways and Means Committee approved additions to the new COVID-19 relief package that will most likely be approved by the end of February. It includes key elements related to single-employer plans including 401(k) and defined benefit plans.   The legislation is being prepared to come up for a House vote on February…

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