ERISA Roundup - Q4 2023

A Note From BDO’s National ERISA Practice Leader

Now that we are into the new year, it’s a great time to reflect on our accomplishments from the prior year and prepare for a successful new year.

As we continue to plan out our goals in 2024, plan sponsors are thinking about how to offer benefits that resonate with a multi-generational workforce and remain competitive in an evolving marketplace—while staying within the organization’s budget. Through BDO’s ERISA Center of Excellence and this publication, we discuss trends impacting the industry and regulations to keep top of mind. 

If your goals include staying current on ERISA topics, we invite you to follow along with our regular insights at www.bdo.com/erisa and our podcast series BDO Talks ERISA. Feedback on our content is always welcomed - you can reach us by emailing us.

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
• Emergency Savings Options: A Bridge to Achieve Employee Savings Goals
• HSA Contribution Limits Set to Increase in 2024
• Retirement Plans & Cybersecurity: Insights for Plan Sponsors
• 2024 Cost-of-Living Adjustments for Qualified Retirement Plans
• BDO Talks ERISA – Navigating Financial Wellness

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.

January

• 15 / Fund: Possible fourth quarter 2023 contribution due for defined benefit pension plans. 31 / Action: File IRS Form 945, Annual Return of Withheld Federal Income Tax, by January 31 for non-payroll income taxes, such as taxes withheld by retirement plans, during 2023. 
• 31 / Action: Distribute IRS Form 1099-R to participants by January 31 for 2023 retirement plan distributions. 

February

• 28 / Action: File IRS Form 1096, Annual Summary and Transmittal of US Information Returns, with IRS if using paper transmittal by February 28 for 2023 tax year. 
• 28 / Action: File IRS Form 1099-R in paper format with the IRS by February 28 for 2023 retirement plan distributions. 

March

• 15 / Action: Highly compensated employees who fail ADP/ ACP test for prior plan year must have refunds processed by March 15 (other than eligible automatic contribution arrangements). 
• 15 / Fund: Partnerships and S Corporations that are not getting an extension must fund employer contributions to receive tax deduction for the prior year.

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.

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 us an email.