December 2013

Employee Benefit Plan Considerations

U.S Labor Department Release advance copies of 2013 Form 5500 annual report
Louis F. LiBrandi, Principal
The U.S. Department of Labor's (DOL) Employee Benefits Security Administration (EBSA), the Internal Revenue Service (IRS), and the Pension Benefit Guaranty Corporation (PBGC) have released advance informational copies of the 2013 Form 5500 annual return/report and related instructions. The changes are generally not significant and pertain to defined benefit and welfare plan information. Changes to the Form 5500 and Form 5500-SF and their schedules and instructions for plan year 2013 are described under "Changes to Note" in the 2013 instructions, including:

Louis F. LiBrandi Principal llibrandi@odpkf.com 212.286.2600

Schedules H and I - PBGC Coverage Question. A new line item 5c has been added to Schedules H and I that asks defined benefit pension plan filers whether the plan is covered under the PBGC insurance program. This question replaces Plan Characteristic Code 1G previously used on line 8a of the Form 5500 to identify plans covered by the PBGC. Schedule SB. The Schedule SB instructions have been updated to reflect the provisions of the Moving Ahead for Progress in the 21st Century Act ("MAP21). In addition, the Schedule SB instructions for line 11b have been clarified for plans where the valuation date for the prior plan year was not the first day of the plan year. Form M-1 - Compliance Information. The DOL earlier this year published final rules under the Affordable Care Act to protect workers and employers whose health benefits are provided through Multiple Employer Welfare Arrangements (MEWAs). The final rules increased the department's enforcement authority to protect participants in MEWAs and will now require such plans to adhere to enhanced filing requirements. In that regard, the 2013 Form 5500 includes a new section "Form M-1 Compliance Information," which is being added as an attachment to the Form 5500. Also, all welfare plans required to file the Form M-1, "Report for Multiple Employer Welfare Arrangements (MEWAs) and Certain Entities Claiming Exception (ECEs)," must now file the Form 5500 regardless of plan size or type of funding (including small unfunded or insured welfare plans). If you would like more information or have any questions, please contact Louis F. LiBrandi at (212) 286-2600; llibrandi@odpkf.com or Tim Desmond at (914) 3818900; tdesmond@odpkf.com.

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