EP Examination Process Guide - Section 9 - Participant Rights - Plan Events - When the Plan is Intended to be an IRC 401(k) or (m) Safe Harbor Plan
Description: The notice is a plain language document that describes the employee’s rights and obligations under the plan.
What It Should Contain: The notice must contain the following:
- the safe harbor matching or non-elective formula used in the plan;
- level of matching contributions, if any, other contributions under the plan, and the conditions under which they will be made;
- the type and amount of compensation that may be deferred;
- the method of making deferrals under the plan;
- the periods available for making elections;
- the withdrawal and vesting provisions applicable to contributions under the plan; and
- how to obtain additional information about the plan.
Timing: Notice must be given not less than 30 days or more than 90 days before the beginning of the plan year.
Who Is Responsible For Sending It: The administrator of the plan.