Deals & People November 1, 2024

Retirement Industry People Moves – 10/31/24

Schroders expands US pensions team with Schechter as senior client director; Wagner Law Group adds Schloss; The Standard hires Mulquin as regional vice president; and more.

Reported by

Schroders US Pensions Team Appoints Schechter as Senior Client Director

Suzanne Schechter

Schroders announced the expansion of its U.S. pensions team with the appointment of Suzanne Schechter as senior client director.

Schechter will serve as a member of the firm’s East Coast pensions team, supporting public plans and corporate plans for both defined benefit and defined contribution across the region. She will help them with fiduciary, investment, risk management and governance responsibilities, while reporting to Scott Garrett, U.S. head of pensions.

Never miss a story — sign up for PLANADVISER newsletters to keep up on the latest retirement plan adviser news.

“She brings to the firm a wealth of knowledge in developing robust business pipelines, securing new assets, and cultivating strong relationships, and her expertise will be integral in continuing to bolster our pension business capabilities,” Garrett said in a statement.

Most recently, Schechter was a managing director and global head of business development at Bay Capital Partners Ltd. and has held senior leadership roles at firms including Axiom Investors, Guggenheim Partners and the Capital Group Companies Inc.

Wagner Law Group Adds Schloss

Michael Schloss

The Wagner Law Group’s Washington, D.C., office added Michael Schloss as a counsel.

Prior to joining Wagner, Schloss was the director of the office of enforcement at the U.S. Department of Labor’s Employee Benefits Security Administration. He served as EBSA’s principal adviser regarding policy and program matters pertaining to civil and criminal enforcement of Title I of the Employee Retirement Income Security Act of 1974, as well as related provisions of other federal laws. 

He also provided executive leadership and direction in the formulation of policies, development of programs and execution of activities conducted by the four divisions within EBSA’s Office of Enforcement.

The Washington office now includes three former DOL lawyers and three former Pension Benefit Guaranty Corporation lawyers, as well as financial, actuarial and benefits experts.

The Standard Hires Mulquin as Regional VP in Retirement Plans

Patrick Mulquin

The Standard hired Patrick Mulquin as a regional vice president for retirement plans. He will collaborate with advisers, plan sponsors and third-party administrators in the greater Los Angeles area.

Mulquin has 30 years of experience in the retirement plan and financial services industry, with previous roles in sales as director and regional vice president.

“We’re absolutely thrilled to welcome Patrick to the team,” Brody Geist, divisional vice president of retirement plan sales at The Standard, said in a statement. “His extensive industry experience, pension expertise and customer service orientation make him an invaluable asset to our organization.”

New York Life Appoints Mountain as Eastern Divisional Sales Director for SVIO Business

Robert Mountain

New York Life announced the appointment of Robert Mountain as Eastern divisional sales director for Stable Value Investment Only. Reporting to Glenn Macdonald, head of SVIO, Mountain will oversee sales and business development efforts in the Eastern region, focusing on expanding stable value product offerings and deepening relationships with institutional investors.

“We are excited to welcome Robert to the team,” said Macdonald in a statement. “His combination of analytical expertise and client-focused approach will be a great asset as we continue to meet the growing demand for capital preservation solutions.”

Mountain has more than 13 years of experience in the financial services industry, previously holding multiple roles at John Hancock, including investment consultant and director of investment strategy.

“New York Life has been a leader in the Stable Value business for decades, and I am thrilled to join such a respected organization and be part of a team known for its stability and expertise,” Mountain said in a statement.

Alera Group Hires M&A Experts Carroll, Rhoads

Ken Rhoads

Sara Carroll

The Alera Group, a national insurance and financial services firm, announced the addition of Sara Carroll and Ken Rhoads. Carroll and Rhoads have joined the organization as private equity diligence team leads to continue building and enhancing Alera Group’s private equity capabilities. 

“Sara’s extensive knowledge and experience in human capital transaction risk, coupled with Ken’s substantial expertise in insurance and risk management, will be a critical resource to our teams and clients across the nation,” Jim Blue, president of Alera Group, said in a statement.

Carroll and Rhoads join after almost nine years of developing and leading their respective M&A practices at the Hauser Group and have managed thousands of transactions. Carroll’s background includes a progressive human resources management career and more than seven years as a health and welfare consultant for CBiz. Rhoads managed private equity relationships and diligence projects at Aon for nearly 10 years.

The PE diligence team will provide national support to Alera Group’s PE clients and the colleagues who support them. 

Compliance November 1, 2024

IRS Increases 2025 401(k) Contribution Limit, Holds IRA Limit

The announcement provides information on all the cost-of-living adjustments affecting dollar limitations for retirement-related items in the tax year 2025.

Reported by

The IRS on Friday announced the annual contribution limits for qualified defined contribution plans and individual retirement accounts for the 2025 tax year.

The annual contribution limit for workers who participate in 401(k), 403(b) and most 457 plans, as well as the federal government’s Thrift Savings Plan, will be increased to $23,500, up from $23,000 in 2024.

Never miss a story — sign up for PLANADVISER newsletters to keep up on the latest retirement plan adviser news.

DC plan contribution limits grow in step with the inflation rate for each year’s third quarter; this year’s was 3.2%, rounded down to the nearest $500 increment.

Catch-up contributions for those 50 years and older and invested in DC plans will remain at $7,500, adding up to a total allowed annual contribution of $31,000 for qualifying DC plans in 2025.

The super catch-up contribution provision in the SECURE 2.0 Act of 2022 takes effect in 2025. It permits those aged 60 through 63 to contribute $11,250 instead of $7,500 in 2025, according to the IRS’s update.

The annual IRA contribution limit will remain $7,000. The IRA catch‑up contribution limit for individuals aged 50 and older will remain $1,000 for 2025, though the IRS noted that the catch-up was amended under the SECURE 2.0 Act of 2022 to include an annual cost‑of‑living adjustment.

The income eligibility ranges for IRAs and the Saver’s Credit likewise increased for 2025.

Traditional IRAs

For single taxpayers in a workplace plan, the phase-out range for traditional IRAs will increase to between $79,000 and $89,000 from between $77,000 and $87,000. For married couples, the amount will increase to between $126,000 and $146,000, up from between $123,000 and $143,000.

For a traditional IRA contributor not covered by a workplace retirement plan and married to someone who is covered, the phase-out range will increase to between $236,000 and $246,000, up from between $230,000 and $240,000.

For a married individual covered by a workplace retirement plan and filing a separate return, the phase-out range is not subject to an annual cost-of-living adjustment and will remain between $0 and $10,000.

Roth IRAs

The income phase-out range for taxpayers making contributions to a Roth IRA will increase to between $150,000 and $165,000 for singles and heads of household, up from between $146,000 and $161,000.

For married couples filing jointly, the income phase-out range will increase to between $236,000 and $246,000, up from between $230,000 and $240,000. The phase-out range for a married individual filing a separate return who makes contributions to a Roth IRA is not subject to an annual cost-of-living adjustment and will remain between $0 and $10,000.

Saver’s Credit and SIMPLE Accounts

The income limit for the Saver’s Credit (also known as the Retirement Savings Contributions Credit) for low- and moderate-income workers will be $79,000 for married couples filing jointly, up from $59,250; $57,375 for heads of household, up from $57,375; and $39,500 for singles and married individuals filing separately, up from $38,250.

The amount individuals can contribute to their SIMPLE retirement accounts will be increased to $16,500, up from $16,000. From a change made in SECURE 2.0, individuals can contribute a higher amount to certain applicable SIMPLE [savings incentive match plan for employees] retirement accounts. For 2025, this higher amount remains $17,600.

The catch-up contribution limit that applies to employees aged 50 and older who participate in most SIMPLE plans remains $3,500 for 2025. Under a change made in SECURE 2.0, a different catch-up limit applies for employees aged 50 and older who participate in certain applicable SIMPLE plans. For 2025, this limit remains $3,850. In addition, a higher catch-up contribution limit applies for employees aged 60, 61, 62 and 63 who participate in SIMPLE plans. For 2025, this higher catch-up contribution limit is $5,250.

The minimum threshold for employees to qualify as a highly compensated employee will increase to $160,000 in 2024, up from $155,000.

The full notice can be found here: Notice 2024-80.

«