Updated Voluntary Fiduciary Correction Program Effective in One Week

The U.S. Department of Labor has a Voluntary Fiduciary Correction Program (VFCP), which enables fiduciaries of qualified retirement plans to fix certain violations without penalties or civil actions. Favorable changes for the VFCP become effective on March 17, 2025. For example, fiduciaries will be able to self-correct delinquent participant contributions as long as the lost earnings owed to the plan do not exceed $1,000. Small business owners who act as fiduciaries of their companies’ retirement plans should review the updates. #IdeaoftheDay