Plan Sponsor

403(b) Plan Compliance Services

The new IRS regulations effective in 2007 for 403(b) plans placed additional responsibility on employers and impact how you administer your 403(b) plan.  The effective date for compliance with the new regulations was January 1, 2009.  Requirements of the new regulations include:

  • Monitoring of asset exchanges that are now limited to employer-approved providers.
  • Selecting and approving providers for your plan.
  • Adopting a written plan document describing plan provisions and procedures.
  • Delegating and establishing reporting requirements for compliance with contributions to and distributions from approved providers.
  • Complying with new requirement for timing of remittance of salary reduction contributions.

Sample Plan Documents

Our sample documents are provided to assist you with the development of your 403(b) program. These documents were developed based on the Internal Revenue Service model plan language, but they may not satisfy all the needs of your specific 403(b) program. They are not intended to constitute legal or tax advice.  We suggest you consult your legal and tax advisor(s) prior to adopting any documents for your 403(b) program.

Request a Sample Document Packet.

This packet includes our sample plan document, adoption agreement, service provider agreement, board resolution and information sharing agreement

In addition to providing a sample 403(b) plan document package, WEA Member Benefits will:

  • Maintain a list of all your approved providers and products.
  • Monitor exchanges for approved providers.
  • Perform Contribution Limit Calculations and monitor catch-ups.
  • Administer hardship distributions and provide deferral suspension notices.
  • Administer distributions and give notice to providers.
  • Provide notices for and administer Required Minimum Distributions.

Sample Employee Notices, Vendor Letters, and Agreements

Links to additional important information

Internal Revenue Service (IRS) – http://www.irs.gov/retirement  

IRS 403(b) Plan Audits

The final 403(b) regulations have essentially eliminated the ability for a plan sponsor to limit involvement in matters of plan administration.  IRS officials are auditing more and more 403(b) plans, so compliance with the new regulations is very important.  A standardized process of documenting policies and procedures for your 403(b) plan will certainly prove useful in the event of a plan audit, or simply as a method of archiving important plan history for your potential successors. 

Preparing for an Audit contains best practices for preparing for an audit. 

Additional IRS resources for plan audits are available on the IRS Web site at www.irs.gov/ep.

 

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Financial Seminars

  • Pre-Tax and After-Tax Salary Reduction Agreement
  • IRA Contribution Form