2008 Year-end Reminders

1. For those who have plans with December 31st as the year end, it's time to start preparing and planning for the annual close. Items like the Required Minimum Distributions and special notices due no later December 1st need to be reviewed. This includes a Safe Harbor Notice if you will be relying on a safe harbor contribution for next year to avoid non-discrimination testing. It also includes the notice required if you want to have the protection afforded a plan fiduciary from using a qualified default investment alternative.

2. A quick reminder that the amendment for the Final 415 Regulations needs to be signed no later than the plan year ending in 2008 (December 31st for a calendar year plan). This amendment covers the latest rules from the Internal Revenue Service regarding the individual contribution limitation (for 2008, the lesser of 25% of pay or $46,000), including what pay is required to be counted and not counted for purposes of that limitation. A copy of the executed amendment signature page needs to be returned to us.

If you would like additional information, please don't hesitate to contact your Retirement Plan Specialist at 800-524-401K.