Introduction One of the most common issues that arise when CPAs are counseling clients regarding retirement plans is how the controlled group rules apply in qualified plan world. The controlled group rules ensure that a qualified retirement plan (or plans) maintained by an employer (or group of related employers) does not discriminate in favor of highly … Read more
What did the SECURE Act change about the start-up tax credit? Since 2002 a federal income tax credit has been available for starting a retirement plan. All the SECURE Act changed was the amount of the start-up credit for tax years after 2019. So everything else stays the same. Discussed separately, the SECURE Act also … Read more
What is the SECURE Act auto-enrollment tax credit? A $500 tax credit has been created for small employers who add an EACA to their retirement plan. The credit is available for 3 taxable years. What are the requirements to be an EACA? EACA stands for “Eligible Automatic Contribution Arrangement”. The requirements to be an EACA … Read more
“We’re establishing a standard for you to go by.” That is how J.K. Nowiejski of Nova 401(k) Associates characterized the Department of Labor’s (DOL) approach in auditing and investigating retirement plans. He was joined by Drinker Biddle Reath LLP Partner Heather Abrigo in addressing trends in government audits and investigations in an Oct. 25 … Read more
The PBGC has announced Harvey relief in PBGC Disaster Relief Announcement 17-09. The relief is for “designated individuals” which aligns with the IRS’s affected individuals. Premium Filings – For PBGC premium filings due August 23, 2017 or later, the PBGC will not charge penalties if the filing is made by January 31, 2018. However, the … Read more
In TX-2017-09, the IRS extended the filing deadline to January 31, 2018 for income tax returns due between August 24, 2017 and January 31, 2018. Deadlines for certain employer contributions to retirement plans key off of fully extended tax filing deadlines. Thus, when the fully extended tax filing deadline is delayed, the employer contribution deadline … Read more
John Hancock is proud to recognize Nova 401(k) Associates of Houston, TX as the inaugural winner of two John Hancock Retirement Plan Services Star of Excellence awards. Nova 401(k) Associates earned a Star of Excellence award in each of the following award categories, based on results from over 2000 Third Party Administrator (TPA) firms … Read more
Step-by-Step Instructions Step 1: Open your internet browser and go to http://www.efast.dol.gov. Click “Register” on the left side of the page under the “Main” table. Step 2: Read the Privacy Statement and check the box “I have read this agreement”. Click the “Accept Agreement” box to continue. Step 3: Complete your Profile Information. IMPORTANT: For … Read more
Tax-exempt 457(b) (Top Hat) plans must file a notification of the plan’s existence with the Department of Labor. As long as this notification is timely filed there is no Form 5500 requirement for the plan. Nova 401(k) Associates can assist with this filing.