Public School Systems - 401(k)?

[Pammie57]

Is it possible for a public school system to adopt a regular 401(k) Plan? If so, are they exempt from filing a form 5500? I don't have any experience with school systems so if anyone has - Id love your feedback. Thanks

[jpod]

Governmental employers cannot maintain a 401k plan, except for those grandfathered under the Tax Reform Act of 1986. Not sure if that would prevent a public school district or some other governmental employer from "joining" an existing and grandfathered 401(k) plan as a participating employer, but I am inclined to doubt it.

I suspect you know this but in case not a public school system can have a 403(b).