ERISA

Employee Retirement Income Security Act

COMPLIANCE

Support & peace of mind

The Employee Retirement Income Security Act (ERISA) of 1974 establishes minimum standards for retirement, health, and other welfare benefit plans, including life insurance, disability insurance, and apprenticeship plans. ERISA’s extensive rules address the federal income tax effects of transactions associated with employee benefit plans, with mandates that qualified plans must follow to ensure that plan fiduciaries do not misuse plan assets. ERISA has been amended repeatedly since being signed into law.

The consequences of ERISA noncompliance can be severe. With many provisions requiring strict adherence including satisfying plan regulations, reporting accurately and on time, and more, there are many ways employers can fail to comply and expose themselves to penalties. In our ever-changing legislative environment, it’s more important than ever to trust a compliance expert. Let TASC manage all necessary documents, forms, and record keeping including:

Provide guidelines for timely disclosure of Plan changes to employees.
Monitor legislative and regulatory changes to ensure mandates are met and notices are up-to-date.
Provide free PCORI reporting services when you contract TASC ERISA with the optional PCORI service.

Why TASC ERISA Compliance?

Avoid costly fines
and ensure compliance

TASC has 90+ years of combined compliance expertise, offers the Hold Harmless guarantee, employs a staff of in-house attorneys and industry experts, and conducts free monthly compliance webinars.

TASC is your best choice for third-party ERISA administration including the right experience, expertise, and education, while mitigating your exposure.

Comprehensive Solution

TASC will prepare your ERISA wrap plan document/SPD and, if applicable, prepare your Form 5500. With TASC ERISA, any regulatory change updates or plan updates are included in your annual fee.

Hold Harmless

We stand behind our offering with $1,000,000 in hold harmless protection for our customers. More so, if a penalty arises due to a TASC error of non-compliance, we’ll resolve the inquiry and pay all applicable fines and penalties.

All the Extras

Additionally, TASC clients benefit from a Dedicated Compliance Specialist supporting you every step of the way, assisting with annual PCORI filing if you elect that optional service, and preparing a signature ready Form 5500 annually if applicable.

TASC's COMPLIANCE SERVICES

Medicare Part D

Medicare Part D is a voluntary prescription drug benefit. Employers who sponsor group health plans must provide prescription drug coverage to Medicare Part D-eligible individuals – subject to certain requirements.

Our Medicare Part D service provides the employer/client with the eligible individuals required notices and distribution instructions. TASC also provides the client instructions for reporting creditable/non-creditable coverage to the Centers for Medicare and Medicaid Services (CMS).

We ensure avoidance of fines and penalties, and also help you:

Our Medicare Part D service provides the client with the required notices and distribution instructions.
Stay on top of changing regulations and requirements.
Eliminate the burden creating documents and providing required communication with employees.
TASC Medicare Part D service is included with TASC ERISA package when applicable or can be purchased as a stand-alone offering.

SUPPORT SERVICES

Form 5500 preparation

If 100 or more of your employees participate in a health and welfare benefits plan, or you hold plan assets or premiums in a trust, you must complete IRS Form 5500. Failure to do so can mean possible criminal penalties for deliberate failure to report, and fines of up to $2,670 per day, adjusted annually, for missing or incomplete information.

TASC’s Form 5500 Preparation service includes:

User-friendly electronic tools to satisfy filing requirements.
Complete form preparation, schedules, filing instructions, and deadlines for submission.
TASC Form 5500 service is included with TASC ERISA package when applicable or can be purchased as a stand-alone offering.

Patient Centered Outcomes Research Institute

PCORI

PCORI was created to examine the outcomes, effectiveness, and appropriateness of different medical treatments. It evaluates existing studies and conducts its own, with funding paid in part by employers who sponsor Health Reimbursement Arrangements (HRAs). PCORI funding is paid by employers and insurance carriers.

We help ease calculation and paying of this fee. Our PCORI offering includes:

Guaranteed compliance with evolving regulations for employers of all sizes and in all industries.
Knowledgeable experts monitoring PCORI compliance requirements and any tax form or filing changes.
TASC offers PCORI reporting assistance as an optional stand-alone service. The service fee may be waived when an employer also signs-up for TASC ERISA offering.

TASC AgriPlan, BizPlan, and ERISA service customers receive these PCORI services at no additional charge.

Frequently Asked Questions

What is ERISA and which benefits does it cover?

ERISA (Employee Retirement Income Security Act) is a federal law that establishes minimum standards for pension and health plans in private industry to provide protection for individuals in these plans. It covers retirement, health, disability, and life insurance plans.

Who is subject to ERISA?

ERISA applies to most private-sector employers, including corporations, partnerships, and non-profit organizations. It does not apply to governmental employers or church plans.

What are the key compliance requirements under ERISA?

Employers must provide plan documents and summary plan descriptions (SPDs), file annual reports (Form 5500), maintain records, and adhere to fiduciary responsibilities. TASC ERISA services noted above can ensure compliance with these requirements.

What steps should employers take if they find they are non-compliant?

Employers should correct compliance issues promptly, which may involve filing overdue reports, distributing required documents, and possibly paying reduced penalties under the Department of Labor’s Delinquent Filer Voluntary Compliance Program (DFVCP). TASC can help with delinguent and/or back filing services.

What are the potential penalties employers face for non-compliance with ERISA?

Failure to provide an ERISA document requested by the Secretary of Labor can be $190 per day. Failure to furnish the SPD upon request is $110 per day. Criminal penalties may be imposed on any individual or company that willfully violates any requirement of Title I of ERISA, which includes the SPD and plan document disclosure rules. The penalty per conviction could be $100,000 or imprisonment for up to 10 years. The fine can be increased up to $500,000 when it is imposed against an entity.