Administration and Compliance Services
Effective administration means that critical plan documents and government reports are handled with the appropriate care and attention to detail. Our primary objective is to assure that the plans we serve are in compliance with current regulatory and legislative requirements. Our regular administrative package includes the services plan sponsors need to achieve this.
Plan document services
After working together to determine the plan design our document team provides the specimen plan documents for sponsors to review with their legal counsel. Our plan document package includes the following:
- Document/adoption agreement
- Summary plan description
- Adopting resolutions
- Good faith amendments required by IRS guidance
- Plan funding policy
- Participant loan program, if applicable
- QDRO procedures
- Plan administrator’s guide and administrative forms
Our consultants can also assist plan sponsors with important filings and documentation, such as:
- Plan amendments when needed
- Written documentation of internal operational procedures
- Signature-ready application for IRS determination letter
Regulatory assistance
All qualified retirement plans must satisfy certain IRS and Department of Labor (DOL) rules. Our experienced consultants can provide guidance regarding these important compliance requirements as well as keep you informed about important changes. Our standard compliance package includes the following tests to ensure plans remain in compliance. The specific tests will vary according to the type of qualified retirement plan.
- Review of employer’s determination of eligibility
- 401(k) Average deferral percentage test
- 401(m) Actual contribution percentage test
- 410(b) Minimum coverage ratio percentage test
- Review of 401(a)(4) discrimination compliance
- 416 Top heavy test
- 415 Annual additions limits
- 404 Maximum deductible contributions
- Required distributions under 401(a)(9)
- Review of 402(g) employee deferrals annual limits
We report any violations detected and recommend possible corrections and alternatives. We can also suggest plan design changes that can help the plan avoid future problems.
Additional administrative services
Additional consulting is available on a time and materials fee basis for services not included in our standard administrative package,. We offer assistance in the following areas and more:
- IRS or DOL audits
- Compliance testing failures
- QDROs and hardship distributions
- Payroll system interface issues
- Determine maximum loan amounts
- Plan termination
- 404(k) compliance, if applicable
- Code section 409(n) non-allocation provisions compliance, if applicable
- Code Section 409(p) anti-abuse provisions compliance, if applicable (S corporation ESOPs only)
