ERISA Roundup - Q1 2024

A Note from BDO's ERISA Practice Leaders

Many of us are welcoming Spring weather and a renewed sense of energy for 2024. BDO’s ERISA Center of Excellence has been working diligently to bring you a fresh set of insights around the latest topics in employee benefit plans. 

This first quarter 2024 ERISA Roundup is a compilation of our most recent insights and podcast episodes. It includes a discussion of key implications and compliance concerns for plan sponsors navigating SECURE Act and SECURE 2.0 changes to eligibility for “long-term part-time” employees in 401(k) plans. 

We invite you to stay current with BDO and follow along with our regular ERISA insights at www.bdo.com/erisa and our podcast series BDO Talks ERISA. Feedback on our content is always welcomed - you can reach us at [email protected].  

ERISA Center of Excellence

BDO’s ERISA Center of Excellence is your source for insights on emerging regulations, industry trends, current topics, and more. Visit us at www.bdo.com/erisa or follow along on Twitter: @BDO_USA and #BDOERISA.

In This Issue

• New Requirement to Cover Long-Term Part-Time Employees in 401(k) Plans Enters into Effect
• Complying with SECURE Act Changes to Long-Term Part-Time Employee Eligibility and IRS Form 5500
• New DOL Regulations May Bring Clarity to ESOP Valuation Process
• BDO Talks ERISA Podcast Series
• Upcoming Webinar - Accounting, Audit, and Regulatory Updates Impacting Retirement Plans

2024 Deadlines and Important Dates

Sponsors of defined benefit and defined contribution retirement plans should keep the following deadlines and other important dates in mind as they work toward ensuring compliance for their plans in 2024. Dates assume a calendar year plan. Some deadlines may not apply, or dates may shift based on the plan sponsor’s fiscal year. For additional support, please contact your BDO representative.

April 

• 1 / Action: 401(k) plans with publicly traded employer stock that follow Article 6A of the Regulation S-X (SEC format) must file Form 11-K with the Securities and Exchange Commission by April 1. Note: The IRS “weekend rule” does not roll the April 1 deadline to the next business day if April 1 falls on the weekend or holiday. 
• 1 / Action: Recordkeeper (or other responsible party) completes and files Form 1099-R electronically with the IRS by April 1 for 2023 retirement plan distributions. 
• 1 / Action: April 1 deadline for 5% business owners and terminated participants who turned 73 in 2023 to receive their required minimum distribution (RMD). Note: the IRS “weekend rule” does not roll the April 1 deadline to the next business day if April 1 falls on the weekend or holiday. 
• 15 / Fund: April 15 possible first quarter 2024 contribution due for defined benefit pension plans (i.e., contribute by April 15 before the weekend, as contribution deadlines are not extended to the next business day). 
• 15 / Distribute: Participants who contributed over 402(g) or 415 limits in the previous year must be refunded the excess amount by April 15. 
• 15 / Action: File PBGC Form 4010, Notice of Underfunding for single-employer defined benefit plans with more than $15 million aggregate underfunding by Monday, April 15. 
• 15 / Fund: C-Corporations and Sole Proprietors that are not getting an extension must fund employer contributions by April 15 to receive tax deduction for the prior year. 
• 15 / Fund: IRA contributions for the prior tax year must be funded by April 15.
• 29 / Action: Send annual funding notice to participants of single and multi-employer defined benefit plans over 100 participants by April 29.

June

• 28 / Action: 401(k) plans with publicly traded employer stock must file SEC Form 11-K with the Securities and Exchange Commission by June 28 or file an extension on SEC Form 12b-25.
• 30 / Action: Highly compensated employees who fail ADP/ACP test for prior plan year must have refunds processed by June 30, if an eligible automatic contribution arrangement (EACA). 

July

• 15 / Action: 401(k) plans with publicly traded employer stock that requested a 15-calendar day extension (SEC Form 12b-25) for the SEC Form 11-K must file the SEC Form 11-K with the Securities and Exchange Commission by July 15.
• 15 / Fund: Possible second quarter 2024 contribution due for defined benefit pension plans by July 15.
• 31 / Action: File IRS Form 5500, Annual Return/Report of Employee Benefit Plan, and IRS Form 8955-SSA, Annual Registration Statement Identifying Separated Participants with Deferred Vested Benefits, for the 2023 plan year by July 31.
• 31 / Action: To request an extension of time to file IRS Form 5500, file IRS Form 5558 by July 31.

Stay Up to Date with Our Podcast, BDO Talks ERISA

Our ERISA Center of Excellence releases a monthly podcast - BDO Talks ERISA! This series covers best practices around all things ERISA and any other HR-related topics, including:

• How to avoid common compliance issues
• How to navigate the ins-and-outs of ERISA’s fiduciary provisions
• Our own experiences working for BDO’s ERISA Services group
• A deeper dive into the insights we share through our BDO ERISA Center of Excellence

Listen to new episodes at BDO.com/BDOTalksERISA or subscribe on Apple Podcast or Spotify. If you have suggestions for future topics or have a question for us to answer, send an email to [email protected].