Puerto Rico - INSIDER highlights
We highlight here three articles which may be of interest to Puerto Rico employers in this month’s edition:
- The article titled "Cash Balance Debate Continues With Hearing, Legislation
"
summarizes legislation proposed in the U.S. Congress
affecting retirement plans. While many of the proposed changes would affect
only IRS-qualified
plans, some proposed changes (like the vesting changes for employer non-matching
contributions and indexing the $5,000 limit for mandatory cash-outs) could
have implications for Puerto Rico qualified plans as well.
- The article titled "Congress Seeking to Help Activated Reservists" summarizes
current requirements under USERRA regarding re-employment rights of reservists
called to active duty. The article also
looks at some
of the proposals in Congress to provide benefits and more support to service
members. This article will be of special interest to employers with employees
called to active service in Iraq.
- The brief article titled "FASB Makes Early, Critical Decision
to Expense"
discusses the decision of the Financial Accounting Standards Board (FASB)
that stock
options should be recognized as an expense
by the employers who issue them. This could have implications for companies
which use options as a form of compensation.
Please feel free to call us if you have any questions on the issues raised in this month’s “Insider”.
Sincerely,
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