Pollard & Associates offers a 3(16) Basic service wherein Pollard will automatically sign and file the annual Form 5500 return as a limited-scope fiduciary. Pollard also offers 3(16) Light services wherein Pollard is not acting in a fiduciary capacity, but we do provide enhanced services to those clients who want help with duties that are typically handled by the plan sponsor. These may include distribution of Participant notices, submission of 401(k) payroll deductions, and approval and signing for participant loans and distributions
3(16) Basic Form 5500 Service
Pollard will sign Form 5500 in lieu of Plan Sponsor, and electronically file Form 5500 on behalf of client, which serves to:
- Eliminate your manual signature on Form 5500 posted to the DOL site
- Streamline filing process (no more back & forth emails!)
- Delegate limited-scope fiduciary liability to Pollard for signing and filing Form 5500
Notice Distribution Service – 3(16) Light
Sponsors of all 401(k) plans are required to distribute basic plan Notices to plan participants, either on an annual basis, or an as-needed basis, when a plan provision changes or investment options change. Plans with special features, such as Safe Harbor, QDIA, and Automatic Enrollment, have additional notice requirements on top of the standard ones.
Pollard prepares all required plan Notices annually as part of our basic administrative fees and provides clients with instructions and a cover memo that can be used to forward to participants for distribution.
Pollard also provides an enhanced service for those plan sponsors who engage us to directly distribute Notices to participants via email and/or regular mail, including the 404a-5 Participant Fee Disclosure Notice, Summary Annual Report, Safe Harbor, QDIA, Automatic Enrollment Notices (as applicable), and any investment or plan change notices. This takes the actual distribution process off of the client’s plate.
Click here for our Notice Distribution Service Authorization Form which provides additional details and pricing.
Submission of 401(k) Payroll Deductions – 3(16) Light
Plan sponsors are required to submit payroll deductions for 401(k) contributions and loan repayments to the Plan’s recordkeeper/custodian within a set timeframe based on DOL regulations. For those clients who do not have the in-house personnel to handle this function, or do not work with a payroll service provider that has integration with the plan’s recordkeeper/custodian, Pollard can provide enhanced services to take over this function.
Approval & Signing for Participant Loans & Distributions – 3(16) Light
Preparation of participant loan applications and distribution election forms is part of the standard services that Pollard performs for its clients, along with review and submission of those forms. For those clients who have a large participant population or do not have the in-house personnel to authorize and sign for each loan or distribution, Pollard can provide enhanced services to take over the approval/signatory function.