HCE Notification Letters

[PainPA]

General TPA habits question...

What do other TPA's provide in communications to HCE's for the coming year in a plan that fails?

e.g. Do they send a list of HCE's to the plan administrator.

or

Do they produce a letter and send directly to the participants?

assume current year testing

[cpc0506]

We generally provide quarterly testing for large plans and semi-annual testing for small plans. Regardless of the results of the test, the client is informed. If the test is failing, we provide a copy of the actual test and recommendations in order for the plan to pass testing at the end of the year. This is for our current year testing plans. The letter is always addressed to the plan sponsor/trustee; never to the affected participant.