"What type of person/organization would you reach out to if you had a client who wanted to establish an Employer Educational Assistance Program? Anyone you can recommend?"

"The former plan sponsor of a plan that terminated and was paid out in 2011 just received a check at her home from the fund platform that held the old plan. The accompanying letter says that, as plan fiduciary, she needs to handle this $1,400 which comes from a settlement from 2012 by either allocating it among the plan participants or applying it as plan fees, so this leads me to think that this isn't specifically for her account.

Ignoring the fact that a settlement is arriving in 2021 from nine years ago... there were 8 or 9 participants with balances in the final year of the plan. Distribution fees alone could easily eat up 1/3 of that. Throw in some consulting time...

The problem I see is that there is no trust any more to pay the participants from. We'd have to re-establish the accounts back at the platform, probably sign new paperwork, send distribution forms (find the participants!), etc. And if the trust has assets again, doesn't that mean the plan is active again and we have to file a 5500? Update the document? By the time all those fees are tallied up, this money is definitely spent.

On the other hand, taking this money pre-emptively but not doing that work to 'earn it' seems wrong, unless consulting for it is a very long process. Any suggestions?"

"I'm trying to understand whether an individually designed plan ESOP that previously received a determination letter (that has since expired, but it looks like the expiration date has been waived across all IDP's) needs to switch over to the Cycle 3 pre-approved plan design. I am reading that employers should consider adopting a pre-approved plan because IDP ESOPs are no longer being reviewed by the IRS. But what would compel an employer to switch over? It doesn't seem that there is much enforcement in this area, and I'm trying to find laws or rulings that would motivate or otherwise incentivize an employer with an IDP ESOP plan to switch over to a cycle 3 pre-approved plan design."

"Is it acceptable to provide that the initial default rate in a QACA will increase on the anniversary of the participant's initial automatic enrollment? For example, participant is auto-enrolled at 3% on July 1, 2021. The deferral rate would increase to 4% on July 1, 2022, 5% on July 1, 2023, etc?"

"Plan sponsor is judicially dissolved due to a shareholder dispute and a receiver is appointed to liquidate the company. Receiver terminates the 401(k) Plan and distributes assets to plan participants. Plan audit for final 5500 reveals numerous errors in plan operation that individually are insignificant. The cost to correct the errors would be very significant and would result in participants receiving very small amounts IF receiver choses not to correct plan errors, can receiver be held liable if the plan is audited? What about the former shareholders of the company?"