Mark Your Calendar with these 2012 ERISA Compliance Dates

To get your year started off on the right foot, we have compiled the following list of ERISA compliance requirements and deadlines for your 2012 planning purposes.

FORM 5500:
The filing deadline is the end of the seventh month following the Plan’s year end. An extension may be requested to allow an additional two and a half months.

Summary Annual Report:
A summary annual report must be sent to each plan participant and beneficiary receiving benefits within nine months of the end of the plan year. If you obtain an extension of the deadline for filing Form 5500, the deadline for distributing the summary annual report is automatically extended to two months after the new deadline for filing Form 5500.

SSA:
The due date for 2009 and 2010 plan year returns is the later of (1) January 17, 2012 or (2) the due date that generally applies for filing the Form 8955-SSA for the 2010 plan year. The January 17, 2012 due date cannot be further extended by filing Form 5558.

The due date for 2011 plan year returns is identical to the filing deadline of the Form 5500.

Form 5330:
Due date is generally seven months after the fiscal year end, but varies depending on specific circumstances. Form 5558 may be filed to request an extension of up to six months.

Form 990 (For Tax-exempt Organizations):
Must be filed or extended by the 15th day of the 5th month following the close of the foundation’s accounting period.

Required Participant Disclosures (New):
April 1, 2012 is the deadline for service providers to provide the required disclosures to the plan sponsor.

Plan sponsors must provide disclosures to participants and beneficiaries no later than May 31,2012 (for calendar year plans), or 60 days after the first day of the plan year.

Automatic Enrollment:
Plan sponsors must provide notification of auto-enrollment at least 30 days (and no more that 90 days) prior to the participants’ automatic enrollment date.

Plan Limits:
401(k) Contribution Limit for 2012:

• $17,000. Additional $5,500 permitted for participants over the age of 50
• 2012 Compensation limits: $250,000
• 2012 Highlighly Compensated Employee Threshhold: $115,000
• Corrective distributions for excess deferrals must be done within two and a half months after the plan year end to avoid a 10% excise tax (March 15th for calendar year plan’s).

415 Maximum Contribution / Plan Limit for 2012:

• Defined Benefit Plan annual limit: $200,000 per participant
• Defined Contribution Plan annual limit: The lesser of $50,000 or 100% of the participant’s compensation

Safe Harbor 401(k) Plan Annual Notice:
Description of Notice: Provides information about the features of the safe harbor 401(k) plan including, among other things, the safe harbor nonelective contribution or matching contribution formula under the plan.

Distribution requirements: 401(k) plans containing safe harbor 401(k) plan provisions are required to deliver this notice to participants and eligible employees

Deadline for delivering notice: At least 30 days (but no earlier than 90 days) before the beginning of each plan year.

Qualified Default Investment Alternative Notice (QDIA):
Description of Notice: Provides an explanation of QDIA rights and obligations including, among other things, circumstances in which an account will be invested in the QDIA and rights to direct QDIA invested accounts to other investments.

Distribution requirements: Participant-directed defined contribution plans designed to comply with QDIA requirements. Deliver to participants and eligible employees.

Deadline for delivering notice: At least 30 days before the beginning of each plan year.

If you have any questions regarding the ERISA compliance deadlines, please contact the team at Mohler, Nixon & Williams, or your accounting professional.

Greg Williams is an Audit Senior at Mohler, Nixon & Williams.

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