Fidelity Bond

[Guest slajeunesse]

Does anyone know if a fidelity bond would be required for a plan with only the owner and spouse, no employees? We recommended that they obtain a bond for 10% of plan assets, but they are questioning why one is needed since they are the only ones handling money. We have not been able to find any exception to the 10% of plan asset rule.

[Leopurrd]

If I remember correctly, those plans covering only owners and spouses are exempt from the fidelity bond requirement because they are not covered under title I of ERISA, which outlines the fiduciary responsibilities, including bonding.

[WDIK]

If I remember correctly....

I have the same memory.

[Leopurrd]

Thanks for the confirm, WDIK I'd hate to give out the wrong info to someone!!!