John Hancock is proud to recognize Nova 401(k) Associates of Houston, TX as the inaugural winner of two John Hancock Retirement Plan Services Star of Excellence awards. Nova 401(k) Associates earned a Star of Excellence award in each of the following award categories, based on results from over 2000 Third Party Administrator (TPA) firms … Read more
On July 21, 2015, Nova 401(k) Associates submitted a comment letter on the Department of Labor’s proposed fiduciary regulations. After many years the Department of Labor proposed a new definition of fiduciary. The definition of fiduciary had not been updated to reflect the great number of 401(k) plans. The proposed definition is designed to better protect … Read more
Step-by-Step Instructions Step 1: Open your internet browser and go to http://www.efast.dol.gov. Click “Register” on the left side of the page under the “Main” table. Step 2: Read the Privacy Statement and check the box “I have read this agreement”. Click the “Accept Agreement” box to continue. Step 3: Complete your Profile Information. IMPORTANT: For … Read more
No, eligibility can be different from the existing plan.
Participation in a tax-exempt 457(b) plan is limited to a select group of management or highly compensated employees, including independent contractors.
No, as long as the initial DOL filing was made.
Tax-exempt 457(b) (Top Hat) plans must file a notification of the plan’s existence with the Department of Labor. As long as this notification is timely filed there is no Form 5500 requirement for the plan. Nova 401(k) Associates can assist with this filing.
A tax-exempt 457(b) plan can be established at any time during the calendar year.
Yes. A non-governmental 457(b) does require a written plan document. Unfortunately, there are no IRS pre-approved plan documents for non-governmental 457(b) plans. Nova 401(k) Associates provides plan documents.
The biggest reason that a tax-exempt employer would offer a 457(b) plan is higher deferral limits. Without regard to catch-up limits, the most an individual can defer to a 401(k) plan in 2014 is $17,500. A 457(b) plan may allow the employee to defer an additional $17,500! This can be a real perk to higher … Read more