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ERISA Record Retention: How long is long enough?

By Jerry Kalish

July 21, 2021

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ERISA record retention may not be of those sizzling retirement plan topics for some folks. But please don’t stop reading. It’s an important issue in today’s ERISA’s environment in which Plan Administrators and other fiduciaries must meet complicated compliance reporting requirements, oversight from regulatory agencies, and sometimes litigation. So here is some basic information about document retention for ERISA plans in a Q and A format.…

The Retirement Plan Blog

IRS now requires an employer discretionary match to be “definitely determinable”

By Jerry Kalish

June 30, 2021

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“Definitely Determinable” is one of those pre-ERISA concepts that are still applicable. It means that in order for a retirement plan to be considered “qualified” (eligible for favorable tax treatment), a participant’s retirement benefit had to be determined in accordance with a stipulated formula that is not subject to the discretion of the employer. The purpose of which is, of course, to eliminate the possibility of benefits favoring the higher paid employees. It’s long been required…

The Retirement Plan Blog

The IRS Required Restatement of 401(k) and Profit Sharing Plans: A Plain Language Explanation in Q & A Format

By Jerry Kalish

June 16, 2021

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If you’re an employer who has adopted an IRS pre-approved defined contribution plan such as 401(k) or profit-sharing, you’ll need to have the Compliant box checked no later than July 31, 2022. Plan document compliance to be specific. It’s the IRS requirement that a retirement plan document must be up to date to qualify for favorable tax treatment. IRS pre-approved plans must be rewritten, reviewed, and approved every six years. Once approved, employers who use…

The Retirement Plan Blog

Form 5500: The Body Language of ERISA Compliance

By Jerry Kalish

January 12, 2021

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Last month, the Department of Labor (DOL), the Internal Revenue Service (IRS), and the Pension Benefit Guaranty Corporation (PBGC) released advance copies of the 2020 Form 5500 Series. When filed, they will join those of prior years’ morphing into the body language of ERISA compliance. Here’s how:…

The Retirement Plan Blog

Sometimes SIMPLEs aren’t always simple and mistakes can happen.

By Jerry Kalish

October 5, 2020

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SIMPLEs were designed by Congress in 1996 to make it, well simple, for employers with fewer than 100 employees to establish tax-advantaged retirement plans for their employees. Hence, the legislative branding naming the new law the Savings Investment Match Plan for Employees to make the acronym, SIMPLE. It’s a special type of IRA and adopted because they’re easy to use. But they still have to be in compliance with many of the tax and ERISA…

The Retirement Plan Blog

A Cautionary Note on the President’s Memorandum on Payroll Tax Deferrals

By Jerry Kalish

September 4, 2020

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On August 6 President Donald Trump signed a series of executive orders that expanded economic relief to taxpayers. One of those orders calls for employee payroll tax deferrals from September 1 through December 31, 2020. It includes the 6.2% of the employee’s share of Social Security taxes but not the 1.45% employee’s share of Medicare taxes; and it is applicable for employees with biweekly pre-tax income of less than $4,000. In the absence of any…

The Retirement Plan Blog

So you missed the July 31, 2020 Restatement Deadline for Pension Plans and 403(b) Plans. Here’s what you can do about it.

By Jerry Kalish

August 17, 2020

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The deadline to restate preapproved defined benefit pension plans or 403(b) plans for the Pension Protection Act (“PPA”) has come and gone. July 31, 2020 was the date the IRS required that these plans be updated to reflect changes since the PPA was passed in 2016. The PPA restatement is not optional. Failure to do so by the deadline is a plan disqualification issue that could adverse tax consequences for plan sponsors and participants. However,…

The Retirement Plan Blog

But wait. It may not be too late to set up a retirement plan for 2019.

By Jerry Kalish

July 8, 2020

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That plan would be a SEP, the acronym for Simplified Employee Pension, an IRA-based retirement plan. Unlike a “qualified” retirement plan (401[k}, profit-sharing, or defined benefit) which must be in place no later than the last day of the year, a SEP is subject to a different rule. Generally, a SEP can be set as late as the due date (including extensions) of the taxpayer’s income tax return for the tax year. That means he…

The Retirement Plan Blog

COVID-19: DOL provides filing and disclosure relief

By Jerry Kalish

May 18, 2020

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This is what we have been waiting for. In our earlier post, we reported that the Internal Revenue Service (IRS) extended various deadlines for retirement plan filing and payment obligations. At the time of that publication, the Department of Labor (DOL) had not provided relief for ERISA filings. On April 28, 2020, the DOL provided guidance issuing three publications that addressed the impact of COVID-19 on ERISA reporting and disclosures responsibilities. For now, we’ll…

The Retirement Plan Blog

COVID-19 extensions for retirement plan filings and payments

By Jerry Kalish

April 6, 2020

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Grappling with COVIT-19 issues has certainly been difficult, but retirement plan filings and payments are still required. The Internal Revenue Service has provided relief for some of them by granting extensions. Here is a summary of those extensions:…

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ERISA Record Retention: How long is long enough?

IRS now requires an employer discretionary match to be “definitely determinable”

The IRS Required Restatement of 401(k) and Profit Sharing Plans: A Plain Language Explanation in Q & A Format

Form 5500: The Body Language of ERISA Compliance

Sometimes SIMPLEs aren’t always simple and mistakes can happen.

A Cautionary Note on the President’s Memorandum on Payroll Tax Deferrals

So you missed the July 31, 2020 Restatement Deadline for Pension Plans and 403(b) Plans. Here’s what you can do about it.

But wait. It may not be too late to set up a retirement plan for 2019.

COVID-19: DOL provides filing and disclosure relief

COVID-19 extensions for retirement plan filings and payments

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