National Association of Insurance and Financial Advisors

Impeachment Inquiry Dominates Congress

October 15, 2019

House Democrats have officially opened an impeachment inquiry, and that is now dominating Congressional activity and will continue to do so for the foreseeable future. Whether the inquiry will lead to articles of impeachment of President Trump is as yet unknown, although all signs point to that outcome in the House.   As a result of the impeachment inquiry, Washington insiders are predicting an almost total stall of any legislation that is not absolutely “must-pass.” This will impact NAIF...

DOL Finalizes White-Collar Overtime Exemption Regulation

October 15, 2019

On September 24, the Department of Labor (DOL) released a final white-collar exemption to the Fair Labor Standards Act’s (FLSA’s) overtime (OT) rules. The regulation, effective January 1, 2020, says administrative, executive and professional workers who earn less than $35,568 annually, cannot qualify for the exemption.   The final regulation does not change the exemption’s existing duties test, nor does it include an automatic inflation adjustment mechanism. However, DOL has signaled its ...

President Signs Congress-Passed Temporary Government Funding Extension

October 15, 2019

On September 27, President Trump signed into law a continuing resolution (CR) that extends current law funding authority for the federal government through November 21, 2019. The CR prevented a government shut-down due to a lack of authorized funding at the start of the government’s new fiscal year (FY) on October 1. It extended the National Flood Insurance Program (NFIP) funding through November 21, 2019 but did not include any NFIP reforms.   Among the agencies receiving the CR’s tempor...

House Committee Approves Major Labor Reform Bill

October 15, 2019

On September 25, the House Education and Labor Committee marked up (approved) H.R.2474, the “Protecting the Right to Organize Act.” The bill includes provisions that would expand the definition of employee to discourage the classification of workers as independent contractors. The expansion of worker classification language largely follows the “ABC test” just codified in California but does not include the California law’s exception for insurance agents. NAIFA is working to correct that.   ...

Key Democratic Senator Proposes Eliminating Capital Gains Tax Benefit

October 15, 2019

The ranking member of the Senate Finance Committee, Sen. Ron Wyden (D-OR), is developing a draft proposal, taxing capital gains income at the same rate as ordinary income. The complex proposal is currently in the form of a white paper, with relevant Wyden committee staffers saying it will take until at least next year and maybe longer to answer still open technical questions (including how to treat life insurance, annuities, and NQDC under the proposal) and turn the concept into legislative l...