As if filing the 5500 wasn’t enough fun for plan sponsors, there is another information return that is also required to be filed for each plan: The Form 8955-SSA.
Formerly known as Schedule SSA of Form 5500, the Form 8955-SSA is used to report participants who have terminated employment and left assets on deposit in their employer’s retirement plans. These participants are reported to the Social Security Administration, which notifies the participants of the possible existence of such assets when they file for benefits.
An added burden of this form is the fact that, since it is an IRS—and not a DOL—form, there is a completely different filing procedure (other than the extension of time to file, where the Form 5558 is used, same as for the 5500). This is the case whether the form is filed electronically or in paper form (electronic filing is optional for all but the largest plans).
Editor’s Notes: ERISA Tips is a feature provided with you in mind—to make the newsletter more useful to you! If you have any content for ERISA Tips or the NTSA Advisor that you would like to contribute or suggest, please contact John Iekel, editor of the NTSA Advisor, at [email protected]
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