![]() ![]() Opportunity to Enroll: All employees who have met the plan age and service requirements must be given the opportunity to enroll.Notice of Plan Change: Participants must be notified of any changes to the plan 30 to 90 days before the effective date of the change.Annual Participant Fee Disclosure: All plan-eligible employees, terminated employees, and beneficiaries with an account balance must receive a participant fee disclosure every 12 months. ![]() The IRS considers any failure to strictly follow the plan document's terms an operational defect, which, if not remedied, can result in the plan's disqualification. Adherence to Plan Document: Ensure the plan management continuously adheres to the plan document's terms.Correct any ADP/ACP test failures, and pay 10% excise tax. Send applicable notices to participants, including installments of or changes to a safe harbor 401(k) plan, Qualified Default Investment Alternative (QDIA), or automatic enrollment. Fourth Quarter: Provide third-quarter benefit statements.Distribute a Summary Annual Report for the prior year to plan participants. If the plan document was modified during the prior year, distribute a new Summary Plan Description to plan participants. File Form 5500 for the prior year or file Form 5558 for a 2.5-month extension. Third Quarter: Provide second-quarter benefit statements.(The age for RMD withdrawals was raised to 73 from 72 as of Jan. For plan participants turning age 73 in the prior year, distribute first-year required minimum distributions (RMDs). Distribute excess deferrals made above the IRC Section 402(g) limit. Second Quarter: Provide first-quarter benefit statements to plan participants.Make prior-year employer contributions for a tax deduction to count in the prior year. First Quarter of the Plan Year: Provide fourth-quarter benefit statements to plan participants no later than 45 days after the end of the quarter.
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