Privacy concerns and Form 5500

[Craig Garner]

I have a client who is very concerned that public display of a company EIN (via EFAST2, BrightScope, or otherwise) is an invitation to possible fraud, hacking and other indentity theft at the corporate level. Also of concern, especially for very small plans, is that the plan balance essentially publicizes the account value of the owner.

I have not personally heard of any adverse situation arising out of the public information available on Form 5500. However, I wanted to ask this community if clients have ever expressed concern over the public information on Form 5500, or if any adverse situation has occurred based on the public information reported on Form 5500.

Additionally, has anyone ever heard any governmental agency express any concern over the public information on Form 5500? (my client believes that a company EIN should be protected the same way we protect SS#'s)

Assuming that nobody has expressed any concern to you over this information, I would ask "why not?" Is name, address, phone and EIN insufficient to do any harm? Is the EIN of a company available elsewhere and readily accessible through other sources?

I am certain if company EIN's were subject to the same identity theft issues that are associated with SS#'s, we would have heard about it by now. Obviously, there must be a difference between EIN's and SS#'s. If you know what those differences are, please let me know so that I can assure my client that Form 5500 is not an invitation to identity theft.

[Bill Presson]

Not sure concern is the correct term, but my clients (and others) often express surprise that the 5500 is a public form.

I'm not aware of fraud specifically associated with knowing the employer's EIN, but it's used repeatedly in business transactions.

[Andy the Actuary]

Hey, I have concern that my signature as EA is out there. It's interesting the DOL could care less but requires you change your password quarterly using combinations of unrememberable characters.

[BG5150]

Aren't EINs a matter of public record?

There are several websites out there where you can obtain the information.

So, I wouldn't be worried about the ER's EIN being out there.

[Bill Presson]

Hey, I have concern that my signature as EA is out there. It's interesting the DOL could care less but requires you change your password quarterly using combinations of unrememberable characters.

I thought the DOL gave actuaries the ability to just print their name and initial it.

[Andy the Actuary]

Hey, I have concern that my signature as EA is out there. It's interesting the DOL could care less but requires you change your password quarterly using combinations of unrememberable characters.

I thought the DOL gave actuaries the ability to just print their name and initial it.

I sign my name because it's less legible!

[Bill Presson]

Hey, I have concern that my signature as EA is out there. It's interesting the DOL could care less but requires you change your password quarterly using combinations of unrememberable characters.

I thought the DOL gave actuaries the ability to just print their name and initial it.

I sign my name because it's less legible!

[PFranckowiak]

I have had clients voice concern. Also with a small employer - the 5500 will let the other employees know exactly what their co-worker got for a distribution from the plan since only one person terminated that year. The information is of no use to the rest of the world - so why it has to be public record is beyond me.

Pat

[BG5150]

I have had clients voice concern. Also with a small employer - the 5500 will let the other employees know exactly what their co-worker got for a distribution from the plan since only one person terminated that year. The information is of no use to the rest of the world - so why it has to be public record is beyond me.

Pat

The form must be provided upon request from a participant whether or not its on the web.

Is the distribution amount put on the SAR? Or is it just lumped in somewhere? (It's been a while since I actually read one of those things.)

[K2retire]

It is listed on the SAR.