Wise Cracks Commentary with Dan and John $50 of Hanky Panky Proposed for Texas 403(b) Plans     Not content with watering down innovative 403(b) legislation in 2002 (see Enroned Again: Lobbyists Mess with Innovative Texas 403(b) Plan, special interests are again messing with Texas 403(b) plans.   Recently introduced Texas legislation (SB 1243) states the following: "An educational institution may not accept: (a) any benefit from a company or from an agent or affiliate of a company that offers qualified investment products." Sounds totally reasonable. If a vendor was allowed to take a client out to a ball game or treat them to a round of golf or dinner, they would probably have an unfair advantage over other 403(b) vendors, particularly low-cost, direct distribution companies who lack agents in the field. But wouldn't you know it SB 1243 doesn't stop there. Section 16 of the proposed legislation goes on to state: "other than benefits in the form of: a meal or entertainment valued at $50 or less per employee receiving the meal or entertainment."   This is like telling your students: "You absolutely may not turn in homework late. Unless, of course you furnish the teacher with brownies. But under no circumstance may it be more than 5 brownies!"   This self serving provision got us to thinking... How might a vendor spend $50 to influence a client?   One Lower Level ticket to a Texas Rangers game at The Ballpark in Arlington with $10 left over for a beer.   One round of golf at the Amarillo Country Club in Amarillo.   A meal and drinks at Trudy's Texas Star Restaurant & Bar in Austin.     But our favorite idea is: Lunch at Subway ($6) and a copy of The 403(b) Wise Guide ($12.95 + $2 shipping). This self serving act would cost only $20.95 and the knowledge gleamed by the participant, in our opinion, would be priceless, and relatively healthy. How can we can get that written into Texas legislation?   Home | Disclaimer | © 2001-2003 bWise Guys, LLC. All rights reserved.				Back to the latest Wise Cracks