Welcome to Ask an Adviser, EBN’s weekly column in which benefit brokers and advisers answer (anonymous) queries sent in by our readers. Looking for some expert advice? Please submit questions to askanadviser@arizent.com. This week, Robin Powell, a benefits consultant with Strategic Benefits Advisors, weighs in on the following: We discovered that some of our 401(k) deferrals taken out of employees’ paychecks weren’t sent to our recordkeeper. What do we do now?
The late deposit of employee 401(k) deferrals is among the most common mistakes retirement plan sponsors make. It is also a top priority of the Internal Revenue Service and Department of Labor to enforce sponsors’ fiduciary duty to ensure that contributions are deposited in a timely manner.
