Can you believe we’re already in the last quarter of 2018? This means it’s time to think about completing the 2018 census request for calendar plan years! Whether you’ve done this for years or you’re new to the process, it’s important to remember why we ask for this data. The census request is a tool for plan administrators to report the employee data required for annual testing and other important business changes that occurred in the prior year. Reporting accurate information is critical since missing/incorrect ownership and employee data (including compensation, hours, termination dates, etc.) may affect test results. And, an inaccurate test could lead to complicated corrections and possible penalties.
WHAT DO I REPORT?
The Census Request Overview provides detailed explanations regarding compensation (one of the most important pieces of information reported!). It also covers contributions reported, your employees’ data, highly compensated & key employees, and mergers/acquisitions.
Asking questions now may avoid fixing an inaccurate test later. So, if you have questions regarding the information you should report on the census, contact your Watkins Ross associate.