Errors. They are everywhere if you look closely enough. But there are common themes in most plan errors that auditors of large plans come across every year. This article addresses the most common errors, why they occur, and how they can be avoided. We have just finished another exciting season of auditing employee benefit plans[ … ]
Many defined contribution plans include provisions for a participant to take a loan from their account balance. The loan is generally limited to $50,000 or 50% of the participant’s vested account balance, whichever is less and may also be subject to a minimum. Loans are typically repaid through payroll deduction over a period of 5[ … ]
The Department of Labor recently issued a report on its study of the quality of employee benefit plan audits. The study focused on 400 plan audits attached to 2011 Form 5500 filings. The results were less than impressive. The study found the following: 39% of audits contained major deficiencies in terms of compliance with U.S.[ … ]
Typically this time of year no one is praising the IRS. Many of us are still searching for those last few donation receipts or the 1099 we put somewhere we wouldn’t forget it, or scrambling to find the funds to pay a balance due. But April 2015 will be remembered by employers who sponsor retirement[ … ]
While the economy may be improving, everyone we know is still attempting to cut costs where they can. As you do this within your own company, we would like to share with you an idea for reducing the amount of fees paid for plan administration…allocate an annual administration fee to terminated participants. As retirement plans[ … ]
Plan year 2015 is ramping up! This Retirement Plan Reference Guide summarizes key plan information for quick reference. Please feel free to print and/or share this guide. We hope you find this useful in your practice.
There are a lot of combos that bring a smile to your face when you hear them: Peanut butter & Chocolate Laverne & Shirley (or for the younger set… Beavis & Butt-Head) Joe Montana & Jerry Rice Bacon & … anything Audit & Department of Labor I doubt that last one is on your list. [ … ]
Most retirement plans have adopted a pre-approved plan published by a third party. If your plan is included, you may see the term “prototype” or “volume submitter” in the plan document or on its cover page. You can also refer to the “Federal income tax status” footnote of your plan’s audited financial statements to see[ … ]