Section 285.1015

Title XVIII LABOR AND INDUSTRIAL RELATIONS

Chapter 285

Effective - 28 Aug 2023   

  285.1015.  Show-Me MyRetirement savings plan, requirements. — 1.  The board shall, consistent with federal law and regulation, adopt and implement the plan, which shall remain in compliance with federal law and regulations once implemented and shall be called the "Show-Me MyRetirement Savings Plan".

  2.  In accordance with terms and conditions specified and regulations promulgated by the board, the plan shall:

  (1)  Be set forth in documents prescribing the terms and conditions of the plan;

  (2)  Be available on a voluntary basis to eligible employers and self-employed individuals;

  (3)  Be available to eligible members of an association who may elect to participate in the plan if the association or its members do not maintain a plan or a specified tax-favored retirement plan, other than the Show-Me MyRetirement Savings plan;

  (4)  Enroll self-employed individuals who wish to participate;

  (5)  Provide participants the option to terminate their participation at any time;

  (6)  Allow voluntary pretax or designated Roth 401(k) contributions;

  (7)  Allow voluntary employer contributions;

  (8)  Be overseen by the board and its designees;

  (9)  Be administered and managed by one or more trustees, other fiduciaries, custodians, third-party administrators, investment managers, record-keepers, or other service providers;

  (10)  Provide on a uniform basis, if and when the board so determines, in its discretion, for an increase of each participant's contribution rate, by a minimum increment of one percent of salary or wages per year, for each additional year the participant is employed or is participating in the plan up to the maximum percentage of such participant's salary or wages that may be contributed to the plan under federal law.  Any such increases shall apply to participants, as determined by the board, by default or only if initiated by affirmative participant election;

  (11)  Provide for direct deposit of contributions into investments under the plan.  To the extent consistent with ERISA, the investment alternatives under the plan shall be limited to an automatic investment for participants who do not actively and affirmatively elect a particular investment option, which unless the board provides otherwise, shall be a diversified target date fund, including a series of such diversified funds to apply to different participants depending on their choice or their target retirement dates, a principal-protected option, and at least four additional investment alternatives as may be selected by the board in its discretion.  To the extent consistent with ERISA, the investment options may, at the discretion of the board, include a principal-protection fund as a temporary security corridor option that applies as the sole initial investment before participants may choose other investments or as the initial default investment for a specified period of time or up to a specified dollar amount of contributions or account balance;

  (12)  Be professionally managed;

  (13)  Provide for reports on the status of each participant's account to be provided to each participant at least quarterly and make best efforts to provide participants frequent or continual online access to information on the status of their accounts;

  (14)  When possible and practicable, use existing employer and public infrastructure to facilitate contributions, record keeping, and outreach and use pooled or collective investment arrangements;

  (15)  Provide that each account holder owns the contributions to or earnings on amounts contributed to his or her account under the plan and that the state and employers have no proprietary interest in those contributions or earnings;

  (16)  Be designed and implemented in a manner consistent with federal law to the extent that it applies;

  (17)  Make provisions for the participation in the plan of individuals who are not employees, if allowed under federal law;

  (18)  Establish rules and procedures governing the distribution of funds from the plan, including such distributions as may be permitted or required by the plan and any applicable provisions of ERISA, the tax-qualification rules, and the other tax laws, with the objectives of maximizing financial security in retirement, protecting spousal rights, and assisting participants to effectively manage the decumulation of their savings and to receive payment of their benefits under the plan.  The board shall have the authority, in its discretion, to provide for one or more reasonably priced distribution options to provide a source of fixed regular retirement income, including income for life or for the participant's life expectancy, or for joint lives and life expectancies, as applicable;

  (19)  Establish rules and procedures promoting portability of benefits, including the ability to make rollovers or transfers to and from the plan that are exempt from federal income tax, provided that any rollover is initiated by participants; and

  (20)  Encourage choices by employers in the state to adopt a specified tax-favored retirement plan, including the plan.

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(L. 2023 S.B. 20 merged with S.B. 75)