Resources

Client Alerts, News Articles, Blog Posts, & Multimedia

Everything you need to know about BMD and the industry.

CARES Act Changes Rules Governing Retirement Plans

Client Alert
March 30, 2020

Among the many other provisions of the CARES Act are those impacting retirement plans (including 401(k)s, profit sharing plans, and IRAs) in order to provide an influx of cash to struggling employees.

Tax Favored Distributions
In calendar year 2020, an individual (including a self – employed individual) who is either diagnosed with SARS-CoV2 or COVID-19, has a family member diagnosed with SARS-CoV2 or COVID-19, or experiences adverse financial consequences due to quarantine, furlough, layoff, reduced work hours, or is unable to work due to lack of child care, may take a distribution of up to $100,000 in any taxable year. An employer may accept an employee’s certification that the request is due to one of these reasons.

Unless the employee chooses otherwise, the distribution will be included in his income ratably over three (3) years. Additionally, over a three (3) year period that begins on the day after the distribution occurs the employee may repay (in one or more payments) any amounts which they received as a distribution under this provision. These repayments shall not count against the contribution limits for the plan year.

Loans from Qualified Plans
Loans issued from qualified plans during the next six (6) months shall have their limits increased to the lesser of $100,000 or 100% of their vested account balance.

Current loans shall have repayments delayed with all interest accrued during the delay being forgiven and the five (5) year rule for loans being disregarded. Any payments due on or before December 31, 2020, shall be delayed for one (1) year. Any remaining payments shall have their due date adjusted as a result of the delay. 

Temporary Waiver of Required Minimum Distributions
For calendar year 2020, RMDs from 401(k)s, profit sharing plans, 403(b)s, 457(b) and IRAs shall be waived if the taxpayers required beginning date is in 2020 and the distribution was not made before January 1, 2020. 

Plan Amendments
Plan amendments that are required due to the implementation of these provisions must be made on or before the last day of the first plan year beginning on or after January 1, 2022.

For questions, or more information, please contact Priscilla A. Grant, BMD Business, Corporate and Tax Member at pag@bmdllc.com or 330.253.5934.

CARES ActRetirement PlansTaxPriscilla Grantprofit sharingIRA401(k)
Client Alert

Cleveland Joins the Pay Transparency Movement: What Employers Need to Know

October 21, 2025Beginning October 27, 2025, all Cleveland employers with 15 or more employees will be prohibited from asking applicants about their pay history and will be required to include reasonable pay ranges in all job postings where the position will be performed, solicited, considered, or processed in Cleveland. The ordinance is intended to help close the gender wage gap and promote greater pay equity across the city.Client Alert

New $100,000 Fee on H-1B Petitions – Legal Immigration

September 23, 2025President Trump issued an Executive Order (EO) imposing a $100,000 payment to accompany any new H-1B visa petitions submitted after 12:01 a.m. eastern time on September 21, 2025 and will remain in place for 12 months (unless extended).Client Alert

Implications of Supreme Court Stay for Business Operations in Noem v. Vasquez Perdomo

September 16, 2025On September 8, 2025, the U.S. Supreme Court temporarily reinstated immigration officers’ authority to conduct brief stops based on factors such as location, work type, language, or appearance. This stay in Noem v. Vasquez Perdomo allows enforcement actions to resume in California pending appeal. Employers in industries like construction, agriculture, landscaping, and day labor should prepare for increased worksite disruptions and review compliance protocols.Client Alert

Ohio House Bill 429: Potential Relief for Providers Facing Same-Day Reimbursement Restrictions

September 15, 2025Ohio House Bill 429 aims to prevent third-party payers from reducing provider reimbursement for multiple procedures performed on the same day. The bill could improve payment practices for a range of specialties, including surgery and gastroenterology.Client Alert

FTC Continues to Target Noncompetes

September 11, 2025The FTC is intensifying its focus on noncompete agreements in healthcare, urging employers to review contracts for compliance. While Ohio still generally enforces noncompetes, pending legislation could limit their use.
Older posts