"A common error occurs when employees, working less than full-time, are automatically excluded from making elective deferrals under the 403(b) plan.... Issue Indicator: A 403(b) plan using the statutory exclusions under IRC Section 403(b)(12)(A)(ii). Audit Tips: [1] Review plan language for excluded employees. [2] Verify the plan provides an effective opportunity to participate for all non-excludible employees. [3] Review whether the plan may be eligible for transition relief under Notice 2018‑95."

MORE >>