Newsletter
When Congress passed the Pension Protection Act of 2006, it included a provision, which requires that you file Form 5500 electronically. This new rule applies to every Form 5500 filing you make after December 31, 2009.
The new fully electronic processing system is known as EFAST2 and is scheduled to go live on January 1, 2010. Electronic filing applies to all Form 5500 reports filed for plan years beginning on or after January 1, 2009.
The first stop for you to interact with the new EFAST2 system is a feature known as I-REG (Internet Registration). You will need an Internet connection and an email address to sign up for credentials via the I-REG program.
Who Needs Credentials?
The person(s) who signs the face of the Form 5500 on behalf of either the plan sponsor or the plan administrator (or both) must apply for “signer” credentials using the I-REG system. All plan sponsors will receive a post card from the DOL, probably in January 2010, inviting them to apply for their credentials. There are several important rules about these electronic credentials.
· Only one set of credentials will be issued for each email address. Signer credentials permit the user to sign as the plan sponsor, the plan administrator, or both.
· You may apply for credentials as a (1) filing author, (2) filing signer, (3) schedule author, (4) transmitter, or (5) third party software vendor. Typically, a person who signs Form 5500 will require only the filing signer credentials because they will rely on their service provider to actually author and transmit the filing
· The credentials belong to you as an individual, not the business for which you work. Think of the credentials in the same way you think of your social security number (SSN) - the SSN always belongs to you, no matter where you work. For this reason, you will want to update your profile whenever your email address changes so that any notification from DOL is delivered to you in a timely fashion.
After
January 1, 2010, you may log in to I-REG at www.efast.dol.gov to register
for your credentials. There will be a
series of input screens for you to act upon, culminating in the assignment of
specific electronic credentials, comprised of a User ID and PIN. **Look for more information about this
process in the beginning of 2010.
Where Do I Sign?
While the new system is referred to as a paperless system, that is only on the part of the government. Plan sponsors must maintain a fully executed (wet signature) copy of the Form 5500 with all schedules and attachments. The instructions for the 2009 Form 5500 indicate plan’s copy may be stored electronically, so long as the electronic copy captures the handwritten signatures.
The electronic “signing ceremony,” as it is dubbed, will be a new process for you this year. In addition to signing a paper copy of the Form 5500, you will receive an email inviting you to link to our Form 5500 software. There, you will be presented with a series of screens to act upon, thereby executing the signing ceremony. By inserting your User ID and PIN, you will sign the filing electronically.
You will no longer ship a paper filing off to Lawrence, Kansas. Instead, PCA will transmit the electronically signed filing and provide you with a copy of the filing status report, which is proof that the filing was “processable” and verifies the date and time of receipt by the EFAST2 system of the electronic filing.
What Do I Need To Do?
Fortunately, PCA will be able to manage much of the transition to the electronic filing system for you. We’ll make sure you are ready to easily make the jump to electronic filing!
PCA Launches New Website
- Have you checked out our new website?
In early November, PCA brought a new look and feel to the website. In addition to the new look, we have added
many enhanced business-website features.
Some of these features include:
Links to Popular Websites
Locate Us – Map to office
Tell a Friend
40+ Financial Calculators
A newsletter library of more than 400 FINRA approved articles
An Investor Research Center
Roth 401(k) Education
Payroll Processing Upload
You can still access our website at www.pencorp.com. Should you have any trouble accessing our home page or individual account, you may need to clear your web history, delete stored “cookies” and replace your “favorites” to our website. Please contact our Customer Service Department at 1-800-848-5848, option 1, should you need additional assistance.
SchARP Payroll Processing – Allows a Plan Sponsor to submit payroll files, confirm data validation, and automate processing of the payroll file through the PCA website. Plan Sponsor will also be able to track payroll events, receive email notification of upcoming payroll dates, missed payroll data submission, past due funding, and payroll trade confirmation. SchARP Payroll Processing will be required January 1, 2011. Please contact your account manager for additional information.
Online Administration Forms – Effective January 1, 2010, Plan Sponsors will have online access to all admin forms. You can find them on your Plan Sponsor website in addition to enhanced reporting features for your retirement plan. Please note a significant change to the Change Form. The Change Form will only consist of Elected Deferral Changes for payroll purposes. All other changes can be processed online through the participant website or by contacting our Customer Service Department.
PCA Is Going Paperless – 2010 is our transition year for going paperless. We will be providing most communication pieces and reports directly to the Plan Sponsor website. Once a report has been generated, it will be automatically be sent to the website for you to access.
Want to Go Green? – PCA would like to announce eStatements. Instead of receiving your quarterly statement by mail, you can choose to receive an email notification that your statement is available online. You will be able to print, save and store up to 8 quarterly statements through your secure account. To sign up for eStatement, click on “eStatements” under “Account Summary” on the participant menu. Once you have signed up, you will be able to access your eStatement after you have received your first quarterly eStatement notification.
Please feel free to contact your PCA Account Manager with any questions or concerns.
A
Dynamic Duo - Cincinnati based Alliance Benefit Group combines forces to fit
niche
What do
you get when you combine the talents of two very accomplished women – one in
Employee Benefits and the other in Human Resources – who get along famously and
know their stuff inside out? In this particular case you get Mary Stephens,
GCAHU Member, and Mary Carol Parker of Alliance Benefit Group of Ohio in
Cincinnati.
The two
met in 1995 when Parker was the Human Resources Manager/Consultant for Clayton
L Scroggins Associates. “Mary was selected to be our Employee Benefit broker.
She came in, met with our management and our employees and I was struck by her
incredible ability to analyze, calculate and communicate a very complex
subject,” notes Parker. “She definitely made my life easier.”
The two
became fast friends and before long, Stephens was knocking on Parker’s door to
do HR consulting at her brokerage firm. “As we worked together again it became
evident that we were a good fit. We compliment one another, not just in
personality, but in expertise,” says Stephens. “Eventually, Mary Carol began
working for me part-time and the more we discussed the idea of combining
forces, the more confident we became we could provide a much needed service for
businesses that do not have full-time Employee Benefit or HR professionals.”
In
November of 2006, Alliance Benefit Group of Ohio planted its seeds. The company
focuses on companies with 2 to 100 employees, with services ranging from
writing and implementing employee policies to developing comprehensive benefit
programs (which include medical, dental, life, and disability).
“While
most of our clients are in the small to medium range, we also work with large
companies that use us as a resource or ‘back-up’ for benefit and HR policy,”
adds Parker.
When describing what makes their alliance work, Parker and Stephens say almost simultaneously that they believe clients can sense their confidence in each other and their products. “We each have over 25 years of experience in our chosen fields,” states Stephens. “Our clients can tell we know what we’re talking about and the passion we have for what we do, and that enables us to build excellent rapport with our clients and instill confidence. Providing solutions is the name of our game.”
Electronic Filing Form 5500 is Just Around the Corner!