401(k) Q&A | Plan & Industry Content From DWC - The 401(k) Experts

Can We Allow a Distribution for a Coronavirus-Related Hardship?

DWC 03/31/20

Facts Some of our employees are dealing with financial challenges due to the coronavirus situation, and they are asking whether they can access their 401(k) accounts. Our plan allows for loans and for in-service distributions at age 59 ½, but some of these employees are younger than that. As a plan sponsor, I’ve always felt strongly that our ...

How Do We Stop Our Discretionary Matching Contribution?

DWC 03/26/20

Facts My company sponsors a 401(k) plan that provides for a discretionary matching contribution, which we deposit each pay period along with employee deferrals. Given the economic uncertainty, I’m focused on doing what I can to ensure adequate cash flow to maintain operations, including making payroll. That might mean we make the decision to ...

Can We Suspend our Safe Harbor Contribution Mid-Plan Year?

DWC 03/24/20

Facts Given the current uncertainty in the world economy and the unknown ongoing affects of coronavirus, I’m looking at all financial obligations for our company, and for opportunities to reduce risk. We currently sponsor a 401(k) plan for our employees and provide a safe harbor contribution equal to 3% of employee compensation.

How Can We Create More Flexibility in our Cash Balance Plan Contributions?

DWC 03/17/20

Facts We are considering adopting a new cash balance plan. We really like the higher contribution amounts, but we keep hearing that the contributions are fairly rigid and inflexible.

We Can't Find our Signed Plan Document, Now What?

DWC 03/10/20

Facts We have a new TPA for our 401(k) plan and they’ve asked for our current plan document that was effective January 1, 2017. We know the document was signed back when it was prepared, but we can’t locate the signed copy.

Have the Rules for Safe Harbor 401(k) Notices Changed?

DWC 03/3/20

Have the Rules for Safe Harbor Notices Changed? | DWC 401(k) Q&A Question of the Week

Facts My company sponsors a safe harbor 401(k) plan and every year my TPA sends me a reminder to distribute a notice to participants. It’s not the biggest hassle but I’ve wondered if it’s really necessary that this same information be provided to participants each and every year.

Do We Still Need to Suspend Deferrals Following a Hardship Distribution?

DWC 02/25/20

Facts Larry and Kent are both participants in our company’s 401(k) plan. Both recently went back to school on a part-time basis to pursue graduate degrees and will continue working for us. Each of them took hardship distributions to help pay for tuition, Larry on September 18, 2019, and Kent on January 3, 2020. Both of them would like to resume ...

Do We Need to Continue Paying RMDs for a Deceased Participant?

DWC 02/18/20

Facts The CEO (and 5% owner) of our company passed away earlier this year at the age of 73. He started taking his required minimum distributions right on time after reaching age 70 ½. At the time of his passing, he was not married and had no children. He also had not designated a beneficiary under the plan.

Short Plan Years... Lookback Years... What (and When) Are They and Why Do I Care?

DWC 02/11/20

Facts My company started a brand new 401(k) plan last year. We didn’t start the plan until July 1, and since we operate on the calendar year, our first “year” of the plan will only be the six-month period from the start date through December 31, 2019. Now, our TPA is asking us for the compensation we paid to each of our employees during the ...

What New Tax Credits are Available for Adding an Automatic Enrollment Feature to our Plan?

DWC 02/4/20

Facts Our business currently has a retirement plan and we are considering adding automatic enrollment. We have heard that there are new tax credits available to employers who include automatic enrollment features in their plans.

Plan Document

Plan Compliance

Defined Benefits Services

Mergers, Aquisitions & Related Company Analysis

Plan Corrections

Government Audits

Investment Advisor Support

Plan Corrections

Fiduciary Duties & Due Dilligence

Plan Distributions

Retirement Plan Design

Retirement Plan Investment Menu

Plan Sponsor Requirements

Corporate Structure / M&A

Qualified Plan Compliance

401(k) Q&A Blog

Visit the Full Blog

Question of the Week

Correction of the Quarter

In the News

Cash Balance Corner

Downloadable Resources

eBooks & Guides

Reference Materials

Media

Our Team

Join the 401k Experts

Recent Post

Categories

Categories

Only the Best Retirement Industry Content

As Featured In

Sign up to receive insights from DWC