IRS FAQs for Employers Adopting Pre-Approved Retirement Plans
On Feb. 21, 2019, the IRS released a set of FAQs providing guidance for employers adopting pre-approved retirement plans. As background, employers may adopt a pre-approved retirement plan offered by document providers instead of individually designing a plan. The FAQs describe how an employer can adopt such a pre-approved plan, including the timeline by which to adopt the plan and how to request a determination letter for the pre-approved plan. The FAQs also address the steps an employer needs to take when amending the pre-approved plan.
Employers looking to adopt a pre-approved retirement plan should familiarize themselves with this guidance.