Blog Post January 25, 2021

Helping Assess ESOP Feasibility for 40 Years

When I first read about ESOPs 43 years ago as a Capitol Hill staffer, I loved the concept but was discouraged by the complexity. Employee ownership was a cause I wanted to make my own, but I was intimidated by the concept and strange (to me) language.
Blog Post April 1, 2022

House Bill Adds Tax Benefit for Sellers to ESOPs in S Corporations

On March 29, the House passed the SECURE 2.0 Act (H.R. 2954), which makes two minor improvements for ESOPs plus other changes aimed at making it easier for employers and employees to assure retirement plans work more effectively. Some of these will affect ESOPs.
Blog Post April 8, 2022

House Committee Passes Bill to Fund State EO Outreach Programs

By a 29-21 party-line vote, the House Education and Labor Committee has passed H.R. 7310, the Protecting America’s Retirement Security Act. The bill now will go to the full House. There is no current Senate companion bill. The bill contains a handful of provisions, most notably requirements for fee disclosure in retirement plans, the creation of a federal personal finance education portal, increased requirements for spousal consent requirements in defined contribution plans, and making automatic deferrals to a 401(k) plan continue by default unless an affirmative action to end them is made.
Blog Post July 22, 2022

House Committee Urges SBA to Fully Implement Main Street EO Act

The House Appropriations Committee urged the SBA to fully implement the Main Street Employee Ownership Act (MSEOA), which was passed in 2018 but has seen only limited use because the SBA issued standard operating procedures that directly undermine the intent of the Act.
Blog Post July 31, 2020

How Having an ESOP Is Helping Companies Weather the Pandemic

Our recent ESOP Topics Survey asked companies to reflect on how employee ownership is affecting their ability to respond to the coronavirus pandemic. The responses show some encouraging perspectives on how an ESOP and an effective culture of ownership can help companies survive and thrive in crisis.