- Operate plan for the benefit of the participants
- Follow the plan documents
- Ensure reasonableness of fees
- Oversee service providers and advisor
- Enroll new employees (participants) and rehired employees at the correct time
- Deduct and upload payroll deductions/matches correctly and on time
- Maintain 401k related documents and records
- Approve and sign employee transactions (distributions, loans, hardships, etc.)
- Review and distribute required notices to employees
- Purchase and maintain correct Fidelity Bond coverage
- Provide year-end employee census and annual compliance questionnaire to service providers
- Sign (and possibly file) Annual Form 5500
*These are general retirement plan responsibilities for businesses. These responsibilities may vary depending on the organization size and the plan terms. This is not an exhaustive list. See your service provider agreement for a more plan-specific and detailed list.
**There are additional options (for a fee) to delegate some of these responsibilities to service providers.
This information is not intended as authoritative guidance or tax or legal advice. You should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.