Evo Classic: Setting up a 401k/IRA Plan
In this article
- Match Rules to Auto-Calculate
- Default Settings for the Deduction & Match Codes
- Plan Earnings Rules
- Annual Limits and Other Reporting Requirements
- Managing Employee Elections
- 401K Annual Census
ASAP can help make managing your 401k/IRA plan simple. We will work with you to set up many of the default settings for your company's plan & help you stay on track of the reporting timelines for data submissions, funding and annual census reporting. Please reach out to your account manager so we can discuss items such as:
Match Rules to Auto-Calculate
Default Settings for the Deduction & Match Codes
Codes populate with most commonly used settings (default settings; you can change as needed on each employee of course):
Plan Earnings Rules (if any)
Perhaps your plan allows deferrals and matches on any wage types, but if not we can set up an E/D Group to exclude any wage types perhaps your company does not wish to match such as bonus earnings or commission earnings:
We will want to work with you to confirm your method of data submission to the 401k/IRA administrator of your choice. Most administrators require employers to log into their third-party website to key in or upload payroll files that contain employee demographic, earnings, deferrals and match data on a per payroll basis.
ASAP can work with you to provide a custom .csv or excel file to match your providers file import specs or we can provide additional Benefit Transmission Services for you to alleviate this post-payroll step after each run.
While rare these days, we may also set up a default agency so that we can auto-produce a third-party agency check written out to your plan administrator for funding:
Annual Limits and Other Reporting Requirements
These are auto-tracked globally based on the settings once we identify your plan type: IRA, 401K, 403B, 457, etc.
Managing Employee Elections
Next up, we will work with you to insure you feel comfortable setting up & managing the employee's elections in the software. If you prefer to leave the software changes to us, no worries we are here to help either way.
401K Annual Census
401K plans for instance have an annual census requirement for compliance testing. When you receive the request, realize we can help facilitate this reporting with a file export of the data. Along with earnings, deferrals and match data; a 401K census will also ask for employee data such as hire date, termination date and birth dates for each employee -- thus let's make sure you are comfortable updating these data fields on the Employee >> Employee level.