It’s Time Again to Rewrite Your Defined Contribution Plan
IRS has recently announced that employers with pre-approved defined contribution plans (401(k), profit sharing and money purchase) will need to have their plan documents rewritten within the next two years. The deadline to do so is July 31, 2022. IRS goes through this process every six years.
If you utilize the WR pre-approved defined contribution plan, we will be providing you with a draft adoption agreement for you to review. We recommend that we schedule a call to discuss your current plan provisions. We believe this is an excellent opportunity to ensure your plan is meeting your needs and the needs of your employees.
Please contact your Watkins Ross administrator if you have any questions.
Related Articles You Might Like
SECURE Act: Plan Amendment Options
SECURE Act: Plan Amendment Options The SECURE Act was signed into law on December 20, 2019. Your plan will require an amendment prior to the end of your 2022 plan year. Below are provisions that you will be able to elect in the plan amendment: Qualified Birth or...
The SECURE Act and Part-Time Employees
The SECURE Act and Part-Time Employees If your plan requires employees to work 1,000 hours in a 12-month period to become eligible, you’ll soon need to start watching hours more closely. Having this 1,000-hour rule generally excludes those employees who work...
401(k) Retirement Plan Audit
401(k) Retirement Plan Audit Why does my 401(k) retirement plan need an audit? The 401(k) plan audit is mandated by the Employee Retirement Income Security Act (ERISA) and is intended to make sure a plan is being run correctly. The audit seeks to; (1) review 401(k)...