Topic Archive: Plan Compliance
Swets, who has more than 15 years of experience in the industry, shared her expert opinion and advice on how to handle this kind of transaction, what to expect (both the good and the bad), and how to deal with the parties involved. She noted that selling a business can be an overwhelming process, but advised listeners to rely on the people that they trust.
“The most important thing is surrounding yourself with the right people, the trusted advisors who have been there with you throughout the time you’ve built your business and who know you, know your motivations, and can really support you through it,” Swets said.
During the rest of their conversation, the pair unpacked the different challenges that come with selling your business and retirement planning. To hear more insights into this topic, you can hear the rest of the podcast here on Entrepreneur Podcast Network.
Our first piece of advice for audited plan sponsors? Don't panic.
Service providers are judged by by many factors and one of the most important is managing to zero service issues. And considering how important plan compliance is, issues with plan compliance via a government audit is not considered a factor—until it is.
Retirement plan compliance is a big deal to the IRS. After all, the tax deductions that both plan sponsors and participants receive each year for contributions to retirement plans surpass deductions taken for charitable donations and health insurance premiums. With so much at stake, the IRS wants to be sure everyone is playing by the rules.
Contrary to what some people may think while writing out checks for penalty fees, the IRS doesn't actually want to find compliance issues in retirement plans.