Under ERISA, a Form 5500 is required on behalf of any welfare benefit plan that: Has 100 or more participants as of the beginning of the plan year. Is funded through a trust, regardless of participant count.

Who is required to file a 5500?

Under ERISA, a Form 5500 is required on behalf of any welfare benefit plan that: Has 100 or more participants as of the beginning of the plan year. Is funded through a trust, regardless of participant count.

Who is exempt from filing a 5500?

A retirement plan that covers only the owner(s) of the company and, if applicable, the spouse(s) of the owner(s) is generally exempt from filing a Form 5500 until the total plan assets are at least $250,000 as of the last day of the plan year.

What is the purpose of IRS form 5500?

File Form 5500 to report information on the qualification of the plan, its financial condition, investments and the operations of the plan.

Do all companies file a form 5500?

Companies with 100 or more plan participants at the start of each plan year must file the traditional Form 5500. Smaller companies that don’t satisfy the requirements to simply file Forms 5500-EZ or 5500-SF must also file the traditional form. It requires companies to provide the schedules listed above.

How much does it cost to file 5500?

A more complicated form than the other two versions, it typically costs a company $5,000 to file. On July 21, 2016, the DOL, IRS and Pension Benefit Guaranty Corporation (PBGC) proposed changes to the Form 5500, effective for 2019 Forms that would be filed in 2020, Vanburen says.

What is the purpose of a 5500?

The purpose of the form is to provide the IRS and DOL with information about the plan’s operation and compliance with government regulations. In general, all retirement plans, such as profit-sharing and 401(k) plans, must file a Form 5500 for every year the plan holds assets.

What benefits are included in a 5500?

Form 5500 is for employee benefit plans to satisfy annual reporting requirements under ERISA and the Internal Revenue Code. Plans subject to ERISA include: medical, dental, life insurance or severance. Profit sharing, 401(k), money or stock bonus plans, annuity or retirement arrangements and pension plans.