Jump to content

Correcting a 403(b) plan failure under the new EPCRS


Recommended Posts

Hello everyone

Hopefully an easier question, if anyone is familiar with the new EPCRS for 403(b) plans.

We had an employer adopt a written prototype 403(b) plan in December 2008. Various affiliated entities were participating employers in the plan since the very beginning, and a few others tacked on until about the end of 2011. These employers participated in the 403(b) plan, but never formally adopted the plan and their participation in it until the end of 2011/beginning of 2012.

Does this constitute a VCP-able error? It looks like it's under 10.08(2)(b) of the new EPCRS (failure to adopt 403(b) plan timely), but I'm not sure, since a 403(b) plan was in effect and only certain participating employers didn't adopt it. Perhaps for them, it's a failure to timely adopt a 403(b) plan? Or am I getting lost in semantics?

Alternatively, is it just an operational failure under 5.02(1)(b) of the new EPCRS (failure to follow plan provisions, ostensibly requiring adoption of the plan by participating employer prior to participation)? Again though, I'm not sure if this is accurate, since I don't see any strict language in the prototype doc requiring adoption of the plan by additional participating emploeyrs. That seems to be more a question on the corporate side, not the plan side?

Any thoughts would be greatly appreciated. Thank you.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...