Blog | Plan Document

IRS Extends Deadline for most SECURE/CARES Act Amendments

Oct 28, 2022 1:29:58 PM

(Section415)*Prior to recent IRS announcements, Plan Sponsors were facing the task of amending their ESOP and 401(k) documents before the end of the 2022 plan year for certain mandatory changes and/or optional changes enacted as part of the Setting Every Community Up for Retirement Enhancement Act of 2019 (SECURE) and the Coronavirus Aid Relief and Economic Security Act of 2020 (CARES) – together the “Acts”. IRS Notices 2022-33 and 2022-45 announced an extension to amend until December 31, 2025.

Topics: ESOP & 401(k) Plans, Plan Document, CARES Act

IRS/DOL Corner

Posted by Scott J. Freund, QPA, QKC

Jul 20, 2022 9:30:00 AM

REMINDER - SECURE/CARES Act Amendments

Topics: IRS, DOL, Plan Document, CARES Act

Becoming a Plan Participant and Earning a Contribution

Posted by Ray Mazurowski

Feb 23, 2022 2:06:00 PM

Did you know becoming a participant and earning a contribution are two separate events? An employee could become a participant and not earn a contribution. Plan eligibility and contribution requirements are different aspects of your plan document.

Topics: Plan Document

What is diversification in an ESOP and what are your responsibilities as a Plan Sponsor?

Posted by Jessica A. Spittel

Dec 22, 2021 10:02:13 AM

Internal Revenue Code Section 401(a)(28) allows employees to diversify a portion of their stock once they meet certain eligibility requirements. There are specific age and service requirements outlined by the IRS to determine who is a Qualified Participant, however your plan may allow for rules that are less restrictive.

Topics: Diversification, Plan Document