What is a prototype plan document?
What is a prototype plan document?
A prototype plan consists of a basic plan document, an adoption agreement, and, unless the basic plan document incorporates a trust or custodial account agreement the provisions of which are applicable to all adopting employers, a trust or custodial account document.
Is a volume submitter plan a prototype plan?
Defined Contribution Volume Submitter Our defined contribution “prototype formatted” volume submitter looks just like a prototype but is submitted as a volume submitter. The document includes some provisions that are not permitted in prototype plans.
What is a base plan document?
The basic plan document contains all the non-elective provisions and can’t include any options or blanks for the employer to complete. The adoption agreement contains the options (and blanks) for the employer to complete and is also where the employer signs the plan.
What is a prototype retirement plan?
a plan sponsored by an organization for adoption by its members or customers, which consists of an adoption agreement and a separate plan document (called a . master or prototype plan.), and. a plan that is individually tailored for an employer’s unique circumstances (called an individually drafted plan.)
What is a non prototype plan?
A Non-Prototype Pension Plan Account is a subaccount that holds assets for a qualified pension. Non-Prototype Pension Plan client accounts are trust accounts containing assets beneficially owned by a number of underlying Pension Plan participants.
What is summary plan description?
The summary plan description is an important document that tells participants what the plan provides and how it operates. Plans also must provide a Summary of Benefits and Coverage (SBC) that accurately describes the benefits and coverage under the applicable plan.
What is a 401 K plan adoption agreement?
401k adoption agreement is a section of a retirement plan document that allows the employer to choose the provisions that apply to its (employer sponsored) retirement plan.
What are plan documents?
The plan document is a comprehensive document that sets forth the rights of the plan’s participants and beneficiaries, and guides the plan sponsor and plan administrator in making decisions and executing their responsibilities.
What is difference between plan document and SPD?
The summary plan description (SPD) is simply a summary of the plan document required to be written in such a way that the participants of the benefits plan can easily understand it. Unlike the plan document, the SPD is required to be distributed to plan participants. Plan amendments must be made to both documents.
What is a non-prototype qualified plan?
Retirement programs are commonly referred to by the applicable section of the Internal Revenue Code and other attributes they share or avoid. Hence, the reference to non-prototype, which indicates the absence of provisions of a prototype plan.
What is a non-prototype plan?
How do I write a summary plan description?
Understanding the Summary Plan Description When you are first hired, you should receive an SPD covering your new employer’s health care and retirement benefits within 90 days. The company may distribute the document to you electronically if you regularly use a computer at work or as a hard copy.
What is prototype plan defined?
Definition A plan that is made available by a prototype sponsor for adoption by employers and under which a separate funding medium is established for each adopting employer. For example: ABC Custodian has a prototype profit sharing plan that was approved by the IRS.
What is a basic plan document?
Plan Document. The document that provides the rules that governs the terms and conditions under which a retirement account is operated. Employer sponsored plans generally have a Basic Plan Document, which provides an explanation of the terms and conditions under which the plan must operate, in order to remain in compliance with regulatory…
What is a master and prototype plan?
Prototype Plans. Prototype plans are pre-approved plans by the Internal Revenue Service under the Master and Prototype program. A Master and Prototype consists of a basic plan document and an adoption agreement. The basic plan document contains all the non-elective provisions.
