Maine 401k Audits
401(k) plans have become one of the most common retirement plan options offered by Maine employers. It’s so popular that most have come to expect it, or a similar employee benefit plan, to be offered as part of the compensation package. There are a variety of plan options for employers to select from, and finding one with the right benefits (and cost structure) is essential. Many face a challenge when the plan grows and meets the minimum requirement to undergo a Department of Labor (DOL) ERISA Audit. Others who have been through a plan audit may have service issues with their provider. Whatever the case, it’s important to work with an auditor with experience and a dedicated commitment to the plan audit specialty.
ERISA Experience
Calvetti Ferguson provides plan audits to 80 benefit plans, including 401(k), defined benefit plans, ESOP’s including limited and full scope audits. We are also in the top 2% of firms that audit employee benefit plans in the United States. We work with plans that are single or multiple employers and have experience serving plans with an 11K filing requirement. The firm provides services to benefit plans with asset sizes ranging from $1M to $1B and a total participant count between 100 and 30,000.
Our firm is a member of the AICPA Employee Benefit Plan Audit Quality Control Center. Maintaining membership is voluntary, and it permits our team members to receive advanced training on regulatory changes. Our involvement reflects our commitment to delivering quality plan audits.
ERISA Audit Services
Our 401(k) plan audit services include:
- Comprehensive audit services, including testing participant account balances to verify their accuracy and completeness.
- Form 5500 preparation and review.
- Preparation and submission of required 11k filings.
- Plan design options, information, and recommendations.
401(k) Plan Features
Analytics on plan features most commonly offered by employers, including:
- Employer Matching – According to a BLS Survey, in plans with an employer matching feature, 42% of respondents indicated an employer match of less than six percent while 48% have an employer match of 6% of earnings. The most common rate of the match was $.50 for each participant dollar contributed.
- Investment Options – the same survey also discovered that 86% of employees participating in 401(k) plans were given a choice in investment options. The number of options varied from 2 to 10 choices and contribution splitting is allowed.
- Loans & Withdrawals – Another interesting finding was the number of plan participants that were eligible for a plan loan. According to the survey, 51% of participants were eligible for a plan loan. It was also discovered that 33% were able to take, penalty-free, hardship withdrawals for qualifying life events.
- Distribution Options – It was also uncovered that 91% of 401(k) plans permit a lump sum payment of benefits upon retirement. Many are allowed to choose the payout methods including a lifetime annuity or payments over an agreed-upon period.
Source: Bureau of Labor & Statistics – Employee Costs and Risks in 401(k) plans
Contact Our 401k Audit Team
Calvetti Ferguson works with public and private companies, non-profits, and other types of organizations nationwide. Regardless of the complexity of your compliance, assurance, advisory, or accounting needs, our team is ready to help. Please complete the form below, and we will follow up with you shortly.
Below is a list of essential facts about Maine (ME), including;
- Maine’s economy employs 704,000 people.
- The largest industries in Maine are healthcare, with hospitals, medical centers, and healthcare providers supporting a substantial portion of the state’s workforce. Along with tourism.
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Portland: Portland serves as Maine’s largest city and economic hub. It features a diverse economy including healthcare, education, finance, and tourism. Portland’s bustling waterfront, historic sites, and vibrant arts scene contribute to its economic vitality.
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Lewiston: Lewiston, located in southern Maine, is known for its manufacturing, healthcare services, and educational institutions. The city has a growing economy supported by industries such as healthcare, manufacturing, and retail.
Source: Maine Department of Labor