Category Archives: Uncategorized

Retirement Plan Deadlines – September 2014

Retirement plan administrators and 401(k) plan sponsors should be aware of the following September 2014 administrative deadlines for defined contribution plans:

Defined Contribution Retirement Plan Deadlines

September 15

  • Money Purchase Plan Contributions
  • Form 5500 and Plan Audit
  • Annual Benefit Statements
  • Deductible Contributions

September 30

  • Summary Annual Report

Please contact Kelly Parker for 401(k) plan information.

Are You Too Late? 401(k) Audits are Due July 31

For 401(k) plans with a 12/31 year end, the audit due date is July 31st, a Thursday this year. If you have recently found out your employee benefit plan requires an audit, you can visit the IRS website to find the forms needed for an extension: http://www.irs.gov/Retirement-Plans/Plan-Sponsor/401(k)-Resource-Guide—Plan-Sponsors—Filing-Requirements.

Extensions are available for 2.5 months if extension request is filed. For a December plan year end, this would be on October 15th.

Piercy Bowler Taylor & Kern can assist you with this extension and the 401(k) audit. Avoid fees and penalties and file the extension by July 31st. Contact Kelly Parker for more information.

EB News: Help your employees make the right 401(k) investment choices

From Employee Benefit News (By Robert C. Lawton): As a retirement plan sponsor, you commit to annual (at a minimum) employee education sessions. One topic that should be covered during your sessions is how participants can become good 401(k) plan investors. In order to invest successfully in their 401(k) plans, participants should:

  • Commit to a regular savings program. Participants should not vary their contributions based on market or economic activity and should plan on contributing to their 401(k) plan for their entire careers.
  • Increase their contributions. Participants need to average 15% in annual additions into their 401(k) plan accounts. Most won’t be able to start contributing at this level and will need to increase their contributions gradually. Increasing contributions can often be done painlessly any time participants receive salary increases.

Continue reading at Employee Benefit News.

Retirement Plan Deadlines – August 2014

Retirement plan administrators and 401(k) plan sponsors should be aware of the following August 2014 administrative deadlines for defined contribution plans:

Defined Contribution Retirement Plan Deadlines

August 14
•Quarterly Benefit Statements

August 15
•Form 5500 and Plan Audit
•Annual Benefit Statement

Please contact Kelly Parker for 401(k) plan audit information.

EB News: IRS targets Roth feature in 401(k) plans

Posted June 16, 2014 by Bernard E. Kaplan, JD, LLM

The IRS employee plans compliance unit has recently launched a Roth compliance check questionnaire program aimed at helping the IRS understand compliance related to the Roth deferral provision in 401(k) plans. It is intended to verify whether the plans randomly selected comply with the Tax Code as it relates to the Roth provisions, as well as identify any noncompliance issues. If noncompliance is discovered, the IRS may launch a plan audit or advise the employer to seek voluntary correction through the IRS.

It is important to respond to the questionnaire in a timely and accurate manner. Failure to do so could trigger an audit.

Continue reading at Employee Benefit News.

What the EBSA Will Ask for in a 401(k) Plan Audit: Documentation You Need

Post Courtesy of Keith R. McMurdy, partner, Fox Rothschild LLP

When clients get an audit request letter from the EBSA, they usually call me surprised at the amount of information being requested. It is not just the shock of being audited that impacts them, but the amount of information they need to provide. Sometimes, the requested documentation may not be available, which creates its own set of issues. But for planning purposes, I thought it would be beneficial to lay out the list from the most recent audit request I reviewed.

Plan sponsors of defined contribution plans will likely be required to produce the following in response to an audit:

  1. Plan documents and all amendments, including trust documents and summary plan descriptions (which reminds us these should exist and amendments should be formally written and adopted)
  2. Summary annual reports for the period under review
  3. Fiduciary insurance and bond policies

To read more to go Employee Benefits Report

Retirement Plan Deadline- April 2014

Retirement plan administrators and 401(k) plan sponsors should be aware of the following April 2014 administrative deadlines for defined contribution plans:

Defined Contribution Retirement Plans

April 1
• Required Minimum Distributions
April 15
• Excess Deferrals and Allocable Income
• Form 1065 or 7004

Please contact Kelly Parker for 401(k) plan information.