BG5150 Posted September 20, 2021 Posted September 20, 2021 Employer has several late remittances of deferrals to the trust. Prohibited transaction. Fix (perhaps) under VFCP. Is it also an operational error? Corrected under SCP? If so, what "operation" under the plan doc did they violate? QKA, QPA, CPC, ERPATwo wrongs don't make a right, but three rights make a left.
Bri Posted September 20, 2021 Posted September 20, 2021 Maybe there's something in the Contributions/Salary Deferrals section of the document that would address any timing of contributions rule inherent to the document itself, as opposed to an "outside" DOL rule? Luke Bailey 1
BG5150 Posted September 20, 2021 Author Posted September 20, 2021 I looked up "deposit" and "deposited" in the BPD and none of the hits were relevant to the topic. I'll look further. QKA, QPA, CPC, ERPATwo wrongs don't make a right, but three rights make a left.
D.J. Simonetti Posted September 21, 2021 Posted September 21, 2021 Not an OE unless the plan document specifies the dates by which the deferrals must be made (which it is not required to do). Bill Presson and Luke Bailey 2
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