Ask the Advisor: Form 5500 and Form 5500-SF Retirement Plan Filing Requirements for 2023

  • Article

Question: What are some changes to the retirement plan filing requirements for 2023?More than three years after the Setting Every Community Up for Retirement Enhancement Act (SECURE Act) was passed, the U.S. Department of Labor, IRS and Pension Benefit Guaranty Corporation published its final revisions to the Form 5500 series. Beginning with the 2023 plan year, the retirement plan filing requirements for plan sponsors include these key changes to the Form 5500 and Form 5500-SF:

  • A change in the participant counting methodology. Moving forward, the participant count for defined contribution plans will be based on the number of participants with account balances. Currently, the participant count includes individuals eligible to participate, but have not elected to make contributions and have no account balance. Additionally, large plans (100 or more participants) are required to have a financial statement audit attached to the Form 5500. However, the participant count change may also eliminate the plan’s audit requirement.  
  • A new IRS compliance section. This new section has been added to the 2023 Form 5500 series, which includes questions related to coverage and non-discrimination testing. The IRS opinion letter date and serial number must also be provided for pre-approved plan documents. 
  • An option to file electronically. The Form 5558 – Application for Extension of Time to File Certain Employee Plan Returns can be filed electronically using the EFAST2 filing system. The IRS will continue to send extension approvals and denials by paper. 

Beyond the Form 5500 series filing requirements, the SECURE Acts of 2019 and 2022 included a significant number of changes impacting retirement plan sponsors’ responsibilities. Count on our retirement plan services group to help you navigate them all. Contact us today to learn more.

Subscribe for more VIEWPoints