22su

Thank you ESOP Guy. I finally got through to the IRS (about 1 1/2 hr wait) and was told to file the 5500SF with the correct EIN and attach a PDF of a letter with reasonable cause, quote "so you don't get hit with a penalty". This guy was very friendly and said it was an honest mistake and since we were trying to do the right thing there shouldn't be a penalty. Although I agree, I'm surprised. He didn't mention DFVC, but of course I realize that if the late-filing penalties aren't waived, they would be much steeper than DFVC. I'm debating what to do...

Hi. Company started 3 new welfare plans effective 1/1/2019. Extensions were filed timely, but it was just discovered that the wrong sponsor/EIN was used on all three. The Sponsor/EIN of our existing plan (501) was copied over and not corrected when the extensions were filed. The correct plan numbers were used on the extensions (502/503/504). I am ready to file the 5500SFs, but unsure how to fix this error. Should I go ahead and file with the wrong EIN and then amend with the correct EIN? Or should I file with the correct EIN and wait for the late filing letter? I hesitate to use line 4 since there are no previous returns/reports filed. Other options? Thank you!

Thank you so much. And no, I am definitely not doing this for clients! I have absolutely no experience with medical insurance. I do handle our retirement plan, including the 5500, but I have found that the two are NOT alike. GMK, I feel your pain.

Yes. (I had to look that one up!)

Thank you. I am sorry- I should have clarified that the Plan also began offering vision and dental insurance a few years ago through another vendor and has filed Schedule A for these benefits each year, so it is not totally self-funded. That seems pretty easy for me to understand, because the Plan pays a portion of the premium and the broker receives commissions (and they send us Schedule A info each year ). I am leaning toward filing a Schedule A on the supplementary benefits simply because it would allow me to match up with Schedule H 2e(2), payments to insurance carrier. I tend to err on the conservative side, but I can't decide if I should amend prior years?

I am learning my way though the Form 5500 (trial by fire), so I apologize for what seems to be a simple question that maybe I am overthinking. I am working on a health plan that is self-funded. They allow an outside vendor to come in and offer voluntary supplementary insurance products to their employees, such as cancer, life, etc. The Plan allows payoll deductions for the premiums and remits the premiums when deducted to the vendor. The Plan does not file claims or pay any of the premium or any type of fees. The contract is between the individual employee and the vendor. This vendor has not been reported on previous filings. I assume there are some commissions somewhere, but they are not funded by the Plan. Is this something that should be included on Schedule A? If it should be reported, how far back should I amend? Thanks for any help.