Default Investment Alternatives under Participant Directed Individual Account Plans

Forms and Documents

Document Name	Status
1210-0132 QDIA Default Investment Alternatives 8-7-2023 (clean).docx Supporting Statement A	2023-08-08

IC Document Collections

IC ID	Document Title	Status
45018	Annual Notice for Default Investment Alternatives under Participant Directed Individual Account Plans	Modified

ICR Details

OMB Control No: 1210-0132	ICR Reference No: 202306-1210-001
Status: Received in OIRA	Previous ICR Reference No: 202003-1210-007
Agency/Subagency: DOL/EBSA	Agency Tracking No: 1210-AB10(Final)
Title: Default Investment Alternatives under Participant Directed Individual Account Plans
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 08/16/2023

	Requested	Previously Approved
Expiration Date	36 Months From Approved	08/31/2023
Responses	49,546,060	39,548,933
Time Burden (Hours)	87,978	76,011
Cost Burden (Dollars)	2,183,990	2,073,509

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Abstract: The Department of Labor finalized a regulation under ERISA section 404(c)(5)(A). The regulation offers guidance on the types of investment vehicles that plans may choose as their ‘‘qualified default investment alternative’’ (QDIA). This information collection requires annual notices to participants and beneficiaries whose account assets could be invested in a ‘qualified default investment alternative’’ (QDIA) and requires plans to pass any pertinent materials they receive from a QDIA to those participants and beneficiaries with assets invested in the QDIA. This information collection is necessary to inform participants and beneficiaries, who do not make investment elections, of the consequences of their failure to elect investments, the ways in which their account assets will be invested through the QDIA, and of their continuing opportunity to make other investment elections, including options available under the plan.

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Authorizing Statute(s): US Code: 29 USC 1104(c)(5)(A) Name of Law: ERISA
   PL: Pub.L. 109 - 280 624 Name of Law: Pension Protection Act of 2006
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	88 FR 8317	02/08/2023
30-day Notice:	Federal Register Citation:	Citation Date:
	88 FR 55724	08/16/2023
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Annual Notice for Default Investment Alternatives under Participant Directed Individual Account Plans

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ICR Summary of Burden

	Total Request	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	49,546,060	39,548,933	0	0	9,997,127	0
Annual Time Burden (Hours)	87,978	76,011	0	0	11,967	0
Annual Cost Burden (Dollars)	2,183,990	2,073,509	0	0	110,481	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: There are no program changes for this submission. Estimates were also updated with new number of participant-directed individual account pension plans with auto-enrollment features and the number of participants in these plans, which has increased the hour burden and cost burden. The hour burden has increased by 11,967 hours and the cost burden has increased by $110,481.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 08/16/2023

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