Need advice re offering benefit plans.

[Guest Benmark]

My company is doing a joint venture with a small firm that has operations both in and out of the US. Question was posed to me as to whether or not the US employees can be offered our benefit plans. From my understanding, we will own the company 50/50 with another firm. Any thoughts?

I'll definitely check on this with our ERISA counsel but just wanted to get some preliminary thoughts from you all.

Thanks

[401 Chaos]

Including the joint venture employees in an existing company's benefit plans can create multiple employer plans, including possible multiple employer welfare arrangements (MEWAs). That can create real issues. Susan Serota published an article on benefits in joint ventures in the Spring 2001 edition of the American Bar Association Tax Section's publication, The Tax Lawyer, that is worth reviewing. ERISA counsel will likely be familiar with these issues and should definitely be consulted in this area.