Category Archives: Plan Qualification

Why a Public Agency Might Want to Add a 401(a) Plan

By Jeff Chang The vast majority of public agencies already maintain a 457(b), or eligible deferred compensation plan. A much smaller number also maintains one or more 401(a) plans in addition. This post discusses some of the reasons a public … Continue reading

Posted in 401(a), 457(b) Plans, Governmental Benefits, PEPRA, Plan Administration, Plan Compliance, Plan Qualification, Social Security | Tagged , , , | Leave a comment

Understanding the Difference Between Contributions and Allocations In Public Agency Plans

By Jeff Chang Most public agency defined contribution plan sponsors can easily recall the current amount being contributed to participants in their plan; however, not all can tell you “how” the contribution is being allocated amongst the participants. The distinction … Continue reading

Posted in 401(a), 457(b) Plans, Governmental Benefits, Plan Administration, Plan Compliance, Plan Qualification | Tagged , | Leave a comment

Public Agencies May Want to Take Advantage of an Anonymous VCP Opportunity Before it Disappears at End of 2021

By Jeff Chang Recently announced changes in the IRS-sponsored Voluntary Compliance Program (VCP) may encourage public agencies with known plan compliance problems or defects to apply this calendar year under Anonymous VCP, before that option is replaced in 2022. As … Continue reading

Posted in 401(a), 457(b) Plans, Governmental Benefits, Plan Administration, Plan Compliance, Plan Qualification | Tagged , , , | Leave a comment

Does Your Agency’s Plan Have Dormant Accounts That Should Be Paid Out?

By Jeff Chang Quite often, a review of the participant status within an agency’s 401(a) and 457(b) plans will reveal that the plans have a large number of dormant accounts – accounts relating to previously terminated, deceased, or divorced employees … Continue reading

Posted in 401(a), 457(b) Plans, Plan Administration, Plan Qualification, record-keeping | Tagged , , , | Leave a comment

Take a Closer Look at Your 401(a) and 457(b) Plans When You Change Providers

By Jeff Chang Previously, we have discussed a number of the do’s and don’ts of switching plan providers, such as investment advisors and recordkeepers. This post focuses on why plan sponsors, plan administrators and plan recordkeepers all should take greater … Continue reading

Posted in 401(a), 457(b) Plans, Plan Administration, Plan Qualification, record-keeping | Tagged , , , | Leave a comment