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Form 5500 Plan sponsors who maintain qualified benefit programs such as pension plans, 401(k) plans or health & welfare plans generally must file an annual report with the Employee Benefits Security Administration (EBSA). This annual report known as a Form 5500 is due within 7 months after the end of the plan year. Delinquent Filer Voluntary Compliance (DFVC) Program The Department of Labor (DOL) has eased the penalties for late or missing Forms 5500 substantially. Under this program, sponsors will face a penalty of $10 per day up to a maximum of $750 for small plans and $2,000 for larger plans. Given the statutory ability of the DOL to assess up to $1,100 per day in civil penalties, this provides a significant incentive to correct past failures to file. PBGC & Pension Plans Qualified Pension Plans are assessed annual premiums (both fixed & variable rate) by the Pension Benefit Guaranty Corporation (PBGC) for insurance coverage. The fixed rate premium for 2005 is $19 per participant. The variable rate premium is assessed based on the funded status of the plan. Larger plans (over 500 participants) must file a PBGC Form 1-ES by February 28th for calendar year plans which represents their estimated premiums. All plans must file a PBGC Form 1 which is due by October 15th for calendar year plans. |
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“The Department of Labor (DOL) has eased the penalties for late or missing Forms 5500 substantially” |
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To contact us: |
Form 5500 & Compliance |
