PRIVATE PENSIONS

Clarity of Required 

Reports and 

Disclosures Could Be 

Improved

Report to Congressional Requesters

November 2013

GAO-14-92

United States Government Accountability Office
United States Government Accountability Office

Highlights of GAO-14-92, a report to 

congressional requesters

November 2013

PRIVATE PENSIONS

Clarity of Required Reports and Disclosures Could 

Be Improved

Why GAO Did This Study

The private sector pension system in 

the United States represents trillions of 

dollars in assets and is a key source of 

financial security for millions of 

Americans. To promote transparency 

and enhance retirement security, 

legislation and regulations require that 

plan sponsors provide numerous 

reports to Labor, IRS, and PBGC, and 

numerous disclosures to plan 

participants. GAO was asked to review 

this system of private sector pension 

plan reporting and disclosure. 

In this report, GAO examined (1) the 

reports and disclosures pension plans 

are required to make to government 

agencies and plan participants; (2) the 

ways, if any, reports to agencies may 

be inefficient or ineffective, and (3) the 

ways, if any, disclosures to participants 

may be inefficient or ineffective. In 

conducting this work, GAO reviewed 

relevant statutes and regulations; 

analyzed inquiries to Labor’s 

participant help line; assessed certain 

disclosures for readability when 

evaluated against criteria based on 

federal plain language guidelines; and 

interviewed agency officials, plan 

sponsor representatives, service 

providers, and participant advocates.

What GAO Recommends

GAO asks Congress to consider 

shifting responsibility and necessary 

resources to Labor for managing the 

pension benefit data that SSA provides 

to retirees. GAO also recommends that 

the agencies improve their online tools 

on reporting requirements and facilitate 

better readability of disclosures. In 

response, the agencies generally

agreed with our findings and are taking 

steps to address the issues we 

identified.

What GAO Found

Sponsors of private sector pension plans are required to submit various reports 

to federal agencies and disclosures to participants depending on the plans’ type, 

size, and circumstances. GAO identified more than 130 reports and disclosures 

stemming from provisions of the Employee Retirement Income Security Act of 

1974, as amended (ERISA), and the Internal Revenue Code, as administered 

largely by three ERISA agencies: the Department of Labor (Labor), Internal 

Revenue Service (IRS), and Pension Benefit Guaranty Corporation (PBGC). 

Although each plan sponsor is required to submit only certain of these reports 

and disclosures, determining which ones can be challenging and the agencies’ 

online resources to aid plan sponsors with this task are neither comprehensive 

nor up-to-date. 

Number of Routine Reports and Disclosures Required under ERISA Varies Based on Plan

Characteristics 

Note: Most routine reports and disclosures are required annually. Additional routine and nonroutine 

reports and disclosures may be required depending on a plan’s design and circumstances.

Plan sponsors’ reports to the ERISA agencies involve minimal duplication, but 

the management of data on one report raised concerns. Notices that the Social 

Security Administration (SSA) sends to retirees listing vested benefits left behind 

with previous employers can be misleading, because management of the data is 

fragmented across three agencies and none assumes responsibility for ensuring 

the data are accurate. Beyond issuing the form and instructions, IRS views its 

role as merely to pass the data through from sponsors to SSA, SSA views its role 

as merely to provide retirees with whatever data SSA receives from IRS, and 

Labor views its role as merely to respond to retirees’ inquiries. As a result, the 

SSA notices can be misleading, listing benefits that have already been paid.

Participant disclosures are numerous and do not always communicate 

effectively. Various groups GAO interviewed said that participants often find the 

content overwhelming and confusing. Although certain disclosures are required 

by law to be written in a manner calculated to be understood by the average plan 

participant, the three ERISA agencies acknowledged that enforcement of these 

provisions has not been a priority. Also, GAO found that several model notices 

that these agencies had developed as templates for sponsors to use in 

developing their disclosures fell short when evaluated against federal plain 

language guidelines.

View GAO-14-92. For more information, 

contact Charles Jeszeck at (202) 512-7215 or 

jeszeckc@gao.gov.
Page i GAO-14-92 Reports and Disclosures

Letter 1 

Background 3

Required Reports and Disclosures Vary by Plan Type, Size, and 

Circumstances 7

Reports Involve Minimal Duplication, but Some Data Are Not Being 

Well-Managed 19

Large Number of Participant Disclosures Do Not Always 

Communicate Effectively 27

Conclusions 38

Matter for Congressional Consideration 40

Recommendations for Executive Action 40

Agency Comments and Our Evaluation 41

Appendix I Methodology for Analyzing the Readability of Participant 

Disclosures 45

Appendix II Required Pension Plan Reports and Disclosures 47

Appendix III Disclosures with Readability Provisions under ERISA or IRC 71

Appendix IV Comments from the Department of Labor 72

Appendix V Comments from the Department of Treasury/Internal 

Revenue Service 75

Appendix VI Comments from the Pension Benefits Guaranty Corporation 78

Appendix VII Comments from the Social Security Administration 80

Contents 
Page ii GAO-14-92 Reports and Disclosures

Appendix VIII GAO Contact and Staff Acknowledgments 81

Related GAO Products 82

Tables

Table 1: Variation in Required Routine Reports and Disclosures by 

Type, Size, and Design of Plan 14

Table 2: Comments on Disclosures Identified as Difficult to 

Understand 34

Table 3: Grade-Level Reading Scores for Model Notices 37

Table 5: Plan Sponsors’ Routine Reports to Agencies 47

Table 6: Plan Sponsors’ Routine Disclosures to Participants, 

Beneficiaries, and Alternate Payees 51

Table 7: Plan Sponsors’ Nonroutine Reports to Agencies 54

Table 8: Plan Sponsors’ Nonroutine Disclosures to Participants, 

Beneficiaries, and Alternate Payees 64

Figures

Figure 1: Number of Plans and Participants in Plans with Specific 

Characteristics, 2011 5

Figure 2: Number of Routine and Nonroutine Reports and 

Disclosures by Lead Oversight Agency 9

Figure 3: Fragmented Management of Data on Deferred Pension 

Benefits 24
Page iii GAO-14-92 Reports and Disclosures

ABBREVIATIONS

DB defined benefit 

DC defined contribution 

EAC ERISA Advisory Council 

EACA eligible automatic contribution arrangement 

ERISA Employee Retirement Income Security Act of 1974 

FKGL Flesch-Kincaid Grade-Level 

FTAP funding target attainment percentage 

IRA individual retirement account 

IRC Internal Revenue Code 

IRS Internal Revenue Service 

OMB Office of Management and Budget 

PBGC Pension Benefit Guaranty Corporation 

PPA Pension Protection Act of 2006 

QACA qualified automatic contribution arrangements 

QDIA qualified default investment alternatives 

SEC Securities and Exchange Commission 

SPD summary plan description 

SSA Social Security Administration

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Page 1 GAO-14-92 Reports and Disclosures

441 G St. N.W.

Washington, DC 20548

November 21, 2013

Congressional Requesters

The private sector pension system in the United States represents trillions 

of dollars in assets and is a key source of financial security for nearly 130 

million Americans. The framework of reports and disclosures is intended 

to ensure that plans are operated in accordance with certain prescribed 

standards and that sufficient information is provided to protect participant 

rights and help participants make informed retirement planning decisions. 

Congress has attempted to promote transparency and enhance 

retirement security by incorporating reporting and disclosure requirements 

into legislation. The Employee Retirement Income Security Act of 1974 

(ERISA),1 requires private sector pension plan sponsors, fiduciaries, 

administrators, or other third parties2 to report certain information to 

federal agencies, including the Department of Labor (Labor), the Pension 

Benefit Guaranty Corporation (PBGC), and the Department of the 

Treasury’s (Treasury) Internal Revenue Service (IRS). ERISA also 

requires plan sponsors to provide information, generally referred to as 

disclosures, to plan participants.3

Recognizing that the system of pension plan reports and disclosures has 

become more complex over time, you requested that we look at how 

useful all the pension reporting and disclosure requirements are to 

sponsors, participants, and government officials and determine whether 

 

1

Pub. L. No. 93-406, 88 Stat. 829 (codified as amended at 26 U.S.C. §§ 401-436 and 

4971-4982 and 29 U.S.C. §§ 1001-1453).

2

Plan sponsors are generally responsible for ensuring that their plans comply with all legal 

requirements. They may meet such requirements themselves or employ or contract with 

third parties to meet them. For ease of reference, throughout this report, we use the term 

“plan sponsor” broadly to include plan administrators, fiduciaries, or other service 

providers that may provide reports and disclosures on behalf of a plan sponsor.

3

Throughout this report, we use the term “reports” to refer to the information that plan 

sponsors are required to provide to federal agencies and the term “disclosures” to refer to 

the information sponsors are required to provide to participants (including beneficiaries 

and alternate payees). However, the use of terms regarding reports and disclosures can 

be confusing. Some reports to agencies include “disclosure” or “notice” in their titles, while 

some disclosures to participants include “report” or “notice” in their titles. We used those 

titles when discussing specific reports and disclosures. We also included certain content 

sent by multiemployer plan sponsors to employers with covered workers as “disclosures.” 

 
 

Page 2 GAO-14-92 Reports and Disclosures

there are ways to improve the system. This report 1) describes the 

reports and disclosures that sponsors of private sector pension plans may 

be required to provide to government agencies and plan participants; 2) 

identifies the ways, if any, that required reports to agencies may be 

inefficient or ineffective; and 3) identifies the ways, if any, that required 

disclosures to participants may be inefficient or ineffective.

To determine what reports and disclosures pension plan sponsors are 

required to provide to federal agencies and plan participants, respectively, 

we compiled available lists and other information about reports and 

disclosures from agency websites and lists from three service provider 

websites. The assembled information included details about who must 

submit information; to whom it must be provided; citations to federal laws, 

regulations, guidance, forms, and model notices;4 and events and 

circumstances that trigger reports and disclosures. We then worked with 

officials at the agencies—Labor, IRS, and PBGC—to revise and update 

the list and add details about agency reports and participant disclosures. 

We also reviewed relevant federal laws and regulations to verify selected 

information.

To identify the ways reports and disclosures may be inefficient or 

ineffective, we interviewed representatives from nine associations, two 

plan sponsors, six service providers, and four participant advocacy 

groups, and reviewed data on 1 year of participant calls to Labor’s call 

center for benefit assistance.5 The interview information cannot be 

generalized beyond the individuals we interviewed, but we selected the 

groups to represent a wide range of differing perspectives on any issues 

with and ways to improve the preparation and use of the information 

provided. We also interviewed officials at PBGC, IRS, and Labor to obtain 

their perspective on the efficiency and effectiveness of the reporting and 

disclosure process. In addition, we evaluated selected reports to agencies 

for redundancy, and we evaluated the readability of certain model notices 

produced by Labor and IRS to help plan sponsors prepare required 

 

4

Model notices are templates created by Labor, PBGC, or IRS for plan sponsors to follow 

when writing all or a portion of a disclosure.

5

We assessed the reliability of this call data as well as data from federal agencies on the 

number of reports they received from plan sponsors in the most recent data year 

available. We found the data reliable for the purposes of this report. 
 

Page 3 GAO-14-92 Reports and Disclosures

disclosures. (For a more detailed description of our readability analysis, 

see app. I.)

We conducted this performance audit from July 2012 through October 

2013 in accordance with generally accepted government auditing 

standards. Those standards require that we plan and perform the audit to 

obtain sufficient, appropriate evidence to provide a reasonable basis for 

our findings and conclusions based on our audit objectives. We believe 

that the evidence obtained provides a reasonable basis for our findings 

and conclusions based on our audit objectives.

ERISA is the primary federal law governing private sector pension plans, 

and includes requirements for plan sponsors to provide reports to 

agencies and disclosures to participants. Labor, PBGC, and IRS jointly 

interpret and clarify the provisions of ERISA that fall under their 

respective purviews through regulation and other guidance to help 

pension plan sponsors meet their responsibilities under the law.

Since ERISA was enacted in 1974, over 175,000 defined benefit (DB) 

plans have terminated, and defined contribution (DC) plans have replaced 

DB plans as the predominant type of pension plan. ERISA and related 

Internal Revenue Code (IRC) provisions have frequently been amended 

to reflect these and other developments. For example, the Pension 

Protection Act of 2006 (PPA) revised minimum plan funding standards, 

enhanced protections for spouses, strengthened plan asset diversification 

requirements, and included various provisions to improve the portability of 

pension plans, among other things.6 These statutory changes have been 

accompanied by increases in the breadth and complexity of pension plan 

sponsors’ reporting and disclosure requirements.

DB plans generally maintain a fund to provide a fixed level of monthly 

retirement income based on a formula specified in the plan. The employer 

is usually responsible for funding the plan, bears all the investment risk, 

and may be responsible for investing and managing its assets. In 

contrast, a DC plan does not promise a specific amount of benefits at 

retirement, but instead the benefit is based on the investment returns on 

employee and employer contributions to the employee’s individual 

 

6

Pub. L. No. 109-280, 120 Stat. 780. 

Background 
 

Page 4 GAO-14-92 Reports and Disclosures

account. DC plan participants bear the full risk of investment and realize 

the gains and losses on those investments. DB and DC plans may be 

single-employer plans or they may be multiemployer plans, which are 

established through collective bargaining agreements including two or 

more employers and operated under the joint trusteeship of labor and 

management.7

Pension plans range considerably in terms of size: from one participant to 

several hundred thousand. The prevalence of plans in terms of type and 

size is illustrated in figure 1. Most plans are small (defined as fewer than 

100 participants), thus small plans account for most report filings. 

However, since small plans have fewer participants, they are required to 

provide fewer disclosures.8 Also, many more plans are single-employer 

than multiemployer, and they also represent many more participants, so 

the single-employer reporting and disclosure requirements apply to far 

more plans than the multiemployer reporting requirements. Reporting and 

disclosure tasks are frequently outsourced, in full or in part, to service 

providers such as accountants, actuaries, investment advisors and record 

keepers.

 

7

Another category of plans is multiple employer plans. As with multiemployer plans, 

multiple employer plans cover employees of more than one employer and can be either 

DB or DC plans. They differ from multiemployer plans in that no collective bargaining 

agreements are involved. GAO, Private Sector Pensions: Federal Agencies Should 

Collect Data and Coordinate Oversight of Multiple Employer Plans, GAO-12-665

(Washington D.C.: Sept. 13, 2012).

8

Certain reports and disclosures define large plans as those with 500 or more participants.
 

Page 5 GAO-14-92 Reports and Disclosures

Figure 1: Number of Plans and Participants in Plans with Specific Characteristics, 2011

a

Participant numbers cannot be totaled across plans because participants can be enrolled in more 

than one plan.

Labor, IRS, and PBGC each oversees a different aspect of private sector 

pension plans, with Labor taking primary responsibility for reporting and 

disclosure requirements. Labor promulgates regulations and produces 

other guidance related to reporting and disclosure. Within Labor, the 

mission of the Employee Benefits Security Administration includes 

ensuring work-related benefits and rights. Labor enforces requirements
 

Page 6 GAO-14-92 Reports and Disclosures

intended to ensure that pension plans operate in the best interest of 

participants and beneficiaries.9

IRS determines whether private sector pension plans qualify for 

preferential tax treatment under the IRC. Participants in tax-qualified 

pension plans can defer taxes on contributions and investment earnings 

until they receive benefits in retirement. In addition, contributions paid by 

an employer to or under a qualified pension plan are generally tax 

deductible as a business expense.10 The IRC requires plan sponsors to 

submit certain reports in order to verify that plans meet certain of the 

criteria for tax-qualified status and to make certain disclosures to 

participants about retirement planning decisions for tax purposes. Title II 

of ERISA amended the IRC and included standards that plans must meet 

to qualify for preferential tax treatment.

PBGC insures the benefits of most private sector DB plan participants up 

to certain statutory limits in covered single-employer plans. When such 

plans terminate with insufficient assets to pay all benefits—as can happen 

in the bankruptcy of plan sponsors with underfunded plans—PBGC pays 

participants their benefits up to certain statutory limits. PBGC also 

provides assistance to multiemployer plans when such plans become 

insolvent. Accordingly, ERISA requires DB plan sponsors to pay 

premiums to insure plan benefits and provide information about the 

financial health of the plan. The information allows PBGC to focus 

resources on plans at risk of termination. PBGC reporting and disclosure 

is only required of DB plans that are insured by PBGC.11 PBGC does not 

insure the benefits of participants in DC plans.

 

9

Labor has the statutory authority to bring legal action against plan fiduciaries that do not 

comply with ERISA requirements. For example, Labor is authorized to assess civil 

penalties not to exceed $1,000 per day for violations of certain ERISA disclosure 

requirements. 29 U.S.C. § 1132(c)(4). On January 2, 2009, Labor published final 

regulations on civil penalties under this authority. Civil Penalties Under ERISA Section 

502(c)(4), 74 Fed. Reg. 17.

1026 U.S.C. §§ 162(a)(1) and 404(a).

11PBGC insured about 25,500 DB plans protecting some 43 million workers and retirees in 

2012. PBGC covers most DB plans, but not all. DB plans not covered by PBGC include 

plans for professional service employees (such as doctors and lawyers) with fewer than 

26 employees, church plans, and public plans provided to federal, state, and local 

government workers. 29 U.S.C. § 1341.
 

Page 7 GAO-14-92 Reports and Disclosures

Three other federal agencies also have roles in pension reporting and 

disclosure requirements: the Social Security Administration (SSA), the 

Securities and Exchange Commission (SEC), and the Office of 

Management and Budget (OMB). SSA uses limited information about 

plan-vested beneficiaries to prepare notices to retirees about private 

sector pension benefits for which they may be eligible. SEC requires 

publicly-traded companies that permit employees to invest in employer 

stock in a voluntary contributory plan to file annual reports just as any 

such company offering stock, unless an exemption applies.12 OMB, within 

the Executive Office the President, approves agency requests for 

information from the public, which includes private employers sponsoring 

retirement plans. OMB reviews the implementation of reporting 

requirements under the Paperwork Reduction Act of 1995,13 to ensure 

that they involve only necessary information and do not impose an 

inordinate burden on those reporting.

To comply with the reporting and disclosure requirements specified under 

federal statute and regulation, Labor, IRS, and PBGC oversee more than 

70 different reports and 60 different disclosures to participants that 

pension plan sponsors may have to provide, depending on their plans’ 

type, size, and circumstances.14 Some reports and disclosures are 

required to be provided on a routine basis, such as annually or quarterly, 

but most are nonroutine—that is, they are required to be provided on a 

one-time basis when some type of triggering event occurs. (See app. II 

for detailed lists of the reports and disclosures we identified.) Various 

reports and disclosures have been added over time through changes in 

statute and regulation, as a result of the development of new plan designs 

and in response to issues affecting participant security. For example, in 

 

12In addition, publicly-traded companies must include in their annual financial statements, 

also filed with the SEC, financial information on their pension plans just as they do on 

other company financial matters. With respect to annual reports, the plan sponsor is 

treated essentially as any other such offerer of stock, and with respect to financial 

statements, plan information is included basically to present a more complete picture of a 

company’s financial situation. Since, for the most part, companies can meet SEC pension 

plan reporting requirements by simply providing copies of their plan’s financial statements, 

we did not include these SEC reporting requirements in the scope of this report.

13Pub. L. No. 104-13, sec. 2, § 3504(c)(1),109 Stat. 163, 167.

14While some of the requirements have been created directly by statute, others have been 

created by the three agencies in implementing the law.

Required Reports and 

Disclosures Vary by 

Plan Type, Size, and 

Circumstances 
 

Page 8 GAO-14-92 Reports and Disclosures

2002, following the scandal involving the Enron Corporation, a new 

disclosure requirement concerning periods when account activity is 

temporarily limited or restricted—referred to as blackout periods—was 

enacted by the Sarbanes-Oxley Act of 2002 to help protect pension 

participants in such situations.15 In 2006, PPA also created several new 

disclosure requirements.16 Other requirements, such as those related to 

the disclosure of fee and expense information by certain plans, were 

recently promulgated by regulation under ERISA.17 A breakdown of the 

number of reports and disclosures under the purview of each federal 

agency is illustrated in figure 2. The system of reports and disclosures is 

complex, and determining which requirements may apply to any given 

plan can be challenging. Yet agency resources to help plan sponsors 

navigate this complex system are neither comprehensive nor up-to-date.

 

15Pub. L. No. 107-204, § 306(b), 116 Stat. 745, 780-83 (codified at 29 U.S.C. § 1021(i)). 

The act amended ERISA to add a new requirement that individual account pension plans 

provide notice to participants and beneficiaries in advance of periods during which the 

ability of participants or beneficiaries to direct or diversify assets credited to their accounts, 

to obtain loans from the plan or to obtain distributions from the plan will be temporarily 

suspended, limited or restricted. Enron was a large energy company that was plagued by 

financial fraud and insider trading and ultimately went bankrupt. Before the bankruptcy, 

when the value of Enron stock was plummeting, its rank and file DC plan participants were 

not permitted to sell their Enron shares and, therefore, suffered greater losses than they 

may have otherwise. H.R. Rep. 107-414, at 18 (2002).

16§§ 501-509, 120 Stat. 936-952.

17Fiduciary Requirements for Disclosure in Participant-Directed Individual Account Plans, 

75 Fed. Reg. 64,910 (Oct 20, 2010); Reasonable Contract of Arrangement Under Section 

408(b)(2)—Fee Disclosure, 75 Fed. Reg. 41,600 (July 16, 2010) and Requirements for 

Fee Disclosure to Plan Fiduciaries and Participants—Applicability Dates, 76 Fed. Reg. 

42,539 (July 19, 2011). 
 

Page 9 GAO-14-92 Reports and Disclosures

Figure 2: Number of Routine and Nonroutine Reports and Disclosures by Lead Oversight Agency

a

The Form 5500 report and its schedules are jointly overseen by all three agencies.

Virtually all plans are required to submit certain annual reports to the 

federal government and to send certain periodic disclosures to plan 

participants. For example, each year, most plan sponsors must submit a 

version of the Form 5500—the Form 5500 report, the 5500 short form 

(5500-SF), or the 5500 EZ—for each DB or DC plan they sponsor.18 In 

plan year 2011, plan sponsors submitted more than 900,000 Form 5500, 

5500-SF, and 5500 EZ reports combined. Most large plans with 100 or 

more participants file the Form 5500, while small plans covering fewer 

than 100 participants that are also invested in secure and easy to value 

assets may file the 5500-SF, and one-participant pension benefit plans 

and certain partnership and foreign plans may file the 5500-EZ. The 

forms call for varying levels of detailed information about participants, 

plan characteristics, and plan funding. Labor, IRS, and PBGC share the 

information reported in the Form 5500 and its attachments to help ensure 

 

1829 U.S.C. § 1021(a) and (b). Certain plans, such as SIMPLE individual retirement 

accounts (IRA) are not subject to Form 5500 requirements. The Form 5500 includes 9 

schedules and additional attachments that are required depending on the plan’s 

characteristics and circumstances. The schedules and attachments are listed separately 

in our report. GAO is conducting a related study of the Form 5500 report anticipated to be 

released in spring, 2014.

Routinely Required 

Reports and Disclosures 

Are Determined by Various 

Plan Characteristics
 

Page 10 GAO-14-92 Reports and Disclosures

that employee benefit plans are operated and managed in accordance 

with certain prescribed standards, and that participants, beneficiaries, and 

federal regulators have sufficient information to protect the rights and 

benefits of participants and beneficiaries under employee benefit plans. 

All large plans and many small plans must report their financial 

information on an attachment to their Form 5500: large plans must submit 

a schedule H and smaller plans may be required to submit a schedule I. 

Most small plans are eligible to file the Form 5500-SF, which contains a 

limited number of financial information fields in lieu of the schedule I.19

Questions on the Form 5500, 5500-SF, and schedules H and I require 

sponsors to provide information on plan termination and transfers to other 

plans. In addition, all plans with benefits provided by an insurance 

company must also attach schedule A.20 Some large plans have 

additional annual reporting requirements; those with loans or fixed income 

obligations in default or classified as uncollectible are required to attach 

schedule G.21

In addition, with limited exceptions, plan sponsors must provide 

participants in each DB and DC plan they sponsor three routine 

disclosures: the summary plan description (SPD), summary annual report 

or annual funding notice, and periodic pension benefit statement.22 The 

SPD is the primary vehicle for informing participants and beneficiaries 

about their plan and how it operates, detailing information on when an 

employee can begin to participate in the plan, when benefits become 

vested, what the benefits are, and how to file a claim for benefits. The 

SPD must be provided to participants at least once every 10 years, or 

more often if there are changes, along with interim notices of any material 

 

19Schedule I is not required of plans filing the 5500-SF or 5500 EZ. In plan year 2011, 

91,377 plans submitted a schedule H and 111,069 plans submitted a schedule I with 

additional financial information. 

20Schedule A is only required of plans with benefits provided by an insurance company. In 

plan year 2011, 120,263 plans submitted at least one schedule A to report benefits 

provided by an insurance company.

21In plan year 2011, plan sponsors submitted fewer than 900 filings of schedule G to 

report loans or fixed income obligations in default or classified as uncollectible.

22ERISA agencies collect data on the volume of certain reports they receive but are 

unable to track similar information on disclosures. 
 

Page 11 GAO-14-92 Reports and Disclosures

changes in a “summary of material modification.”23 All plans, with limited 

exceptions, must provide to participants either the summary annual report 

or the annual funding notice, depending on their plan type. The summary 

annual report, required for DC plans, and DB plans in some instances, 

summarizes information from the Form 5500 and its attachments and 

includes a basic financial statement, minimum funding standards for 

plans, and participants’ rights to other specific information. Most DB plans 

must file the annual funding notice, which provides participants with basic 

information about the plan’s funding status and financial condition.24

Pension benefit statements with information on benefits that have been 

accrued must also be provided periodically to all participants.

25 The 

specific contents and frequency of the benefit statements vary depending 

on the type of plan: individual account plans that permit participants and 

beneficiaries to direct the investment of assets in their account must 

provide a pension benefit statement at least once each calendar quarter, 

plans that do not provide participants or beneficiaries a right to direct their 

investments must provide the disclosure at least once each calendar 

year, and DB plans must provide it at least once every 3 years.

DB plans, which represent about 7 percent of all plans, are subject to 

additional reporting and disclosure requirements. For example, only DB 

plans must submit comprehensive premium filings to PBGC, with 

information requirements that vary according to plan size and funding 

level.26 In addition, with limited exceptions, only DB plans must report 

their actuarial information on certain schedules attached to their Form 

 

2329 U.S.C. § 1024(b).The SPD must be provided to participants within 90 days of 

becoming a participant or first receiving benefits. If any material changes are made to the 

plan, a copy of the summary of material modifications must be sent to participants 210 

days after the close of the plan year in which the modification took place and an SPD sent 

every fifth year. If no material changes occurred, a new SPD must be provided every tenth 

year. 

2429 U.S.C. § 1021(f).

2529 U.S.C. § 1025(a).

2629 C.F.R. § 4007.3. Large DB plans with 500 or more participants are required to submit 

an annual flat-rate premium filing. Plans with 500 or more participants provide 

reconciliation of the estimated flat-rate premium paid earlier in the year with the actual flatrate premium, plans with fewer than 500 participants provide the flat-rate premium, and 

underfunded single-employer plans provide the variable-rate premium.
 

Page 12 GAO-14-92 Reports and Disclosures

5500s.27 DB plans have additional unique disclosure requirements. 

Certain DB plans must provide information through two additional annual 

disclosures: multiemployer plans must provide multiemployer pension 

plan summary plan information28 and single-employer plans with more 

than one contributing sponsor not under common control must provide a 

notification to substantial employers.29 Because DC plans are based on 

individual accounts, they are responsible for disclosures related to that 

characteristic. For example, only DC plans must inform participants of 

their right to make or change elective deferrals30 and make an annual fee 

disclosure to their participants.31

DC plan sponsors may also make decisions in their plan design that 

create additional routine disclosure requirements. For example, to 

encourage participation, employers may enroll new employees 

automatically into their 401(k) plan.32 The automatic enrollment plan 

design typically includes a default employee contribution rate and default 

investment arrangements, in which participants who have not specified 

their contributions or investments are assigned to a determined 

contribution level and selected investments.33 Plan sponsors must inform 

participants of the automatic enrollment and defaults annually through two 

 

27Single-employer DB plans submit schedule SB (40,083 submitted in plan year 2011) 

and multiemployer DB plans and certain money purchase plans submit schedule MB 

(1,326 submitted in plan year 2011).

2829 U.S.C. § 1024(d).The multiemployer summary plan information is not provided to 

participants but only to contributing employers and employee organizations. 

2929 U.S.C. § 1366. The notification to substantial employers is not provided to 

participants, but only to contributing sponsors that constitute a substantial employer for the 

preceding year to notify them of this status.

3026 C.F.R. §§ 1.401(k)-1(e)(2)(ii) and 1.403(b)-5(b)(2). 

3129 C.F.R. § 2550.404a-5.

3226 U.S.C. § 401(k)(13). Certain 401(k) plans, including some automatic enrollment 

plans, use a specific design known as a safe harbor. 26 U.S.C. § 401(k)(12) and 13. Such 

plans are deemed to satisfy the applicable test to determine that a plan does not 

discriminate in favor of highly-compensated employees by meeting either the nonelective 

contribution or matching contribution requirement. They are divided into two types based 

on their inclusion of additional optional criteria, such as automatic enrollment and the level 

of contributions. 26 C.F.R. § 1.401(k)-3(a) and (b).

33GAO, Retirement Savings: Automatic Enrollment Shows Promise for Some Workers, but 

Proposals to Broaden Retirement Savings for Other Workers Could Face Challenges, 

GAO-10-31 (Washington, D.C.: Oct. 23, 2009).
 

Page 13 GAO-14-92 Reports and Disclosures

disclosures—the notice for fiduciary relief for investments in qualified 

default investment alternatives (QDIA)34 and either the eligible automatic 

contribution arrangement (EACA) notice35 or the qualified automatic 

contribution arrangements (QACA) notice.36 The disclosures inform 

participants of the arrangements and their rights and options and 

participants may use the information to elect to change their contributions 

and investments or opt out of the arrangements. In addition, DC plans 

providing investment advice to participants through asset managers, such 

as a fiduciary advisor, must provide the notice of availability of investment 

advice to participants.37

To illustrate the variation in requirements, Table 1 describes the routine 

reports and disclosures required of DB and DC plans based on certain 

characteristics. Additional routine reports and disclosures may be 

required depending on a plan’s specific design and circumstances. 

However, across the characteristics illustrated, the number of routine 

reports and disclosures that may be required ranges from seven to nine. 

For example, a small single-employer DB plan would be required to 

provide a total of seven routine reports and disclosures, while a large 

multiemployer DB plan would be required to provide a total of nine. Any 

DC plan would be required to provide a total of seven routine reports and 

disclosures, while those adopting an automatic enrollment design would 

be required to provide a total of nine.

 

3429 U.S.C. § 1104(c)(5).

3526 U.S.C. § 414(w)(4).

3626 U.S.C. § 401(k)(13)(E). 

3729 U.S.C. § 1108(g)(6). One survey, conducted by SEI Research, found that 78 percent 

of DC plans partner with a fiduciary advisor. SEI Defined Contribution Management 

Research Panel Survey. February 2012. The poll was completed by 138 executives 

overseeing U.S. DC plans ranging in size from $25 million to over $3 billion in assets. 
 

Page 14 GAO-14-92 Reports and Disclosures

Table 1: Variation in Required Routine Reports and Disclosures by Type, Size, and Design of Plan 

 Name of report or disclosure

Defined benefit (DB) plans 

Reports required of all DB plans Form 5500 OR 5500 short form OR 5500 EZ

Comprehensive premium filings to PBGC flat and variable 

rate 

a 

Additional reports based on type of DB plan

If single-employer 5500 schedule SB 

If multiemployer 5500 schedule MB

Zone status certification 

b 

Additional reports based on size of DB plan

If large (100 or more participants)

If large (500 or more participants)

5500 schedule H (financial information)

Premium filings to PBGC estimated flat rate filing 

If small (fewer than 100 participants) 5500 schedule I (financial information)c 

Disclosures required of all DB plans Periodic pension benefit statement 

Annual funding notice (or, in some cases, summary annual 

report) 

Summary plan descriptiond 

Defined contribution (DC) plans

Reports required of all DC plans Form 5500 OR 5500 short form OR 5500 EZa 

Additional reports based on size of DC plan

If large (100 or more participants) 5500 schedule H 

If small (fewer than 100 participants) 5500 schedule Ic

 

Disclosures required of all DC plans Periodic pension benefit statement 

Summary annual report 

Summary plan description

Effective opportunity to make or change elective deferrals 

d 

Participant fee disclosure 404(a) 

Additional disclosures based on certain DC plan designs

If automatic enrollment (with default contribution and 

default investment arrangements)

Eligible automatic contribution arrangement notice (EACA) or 

Qualified automatic contribution arrangement notice (QACA)

Notice for fiduciary relief for investments in qualified default 

investment alternatives 

Source: GAO analysis of information provided by Labor, IRS, and PBGC, and related laws and regulations.

Note: For this table, schedules of the 5500 are counted as separate reports. Additional routine reports 

and disclosures may be required if the plan meets additional criteria or under specific circumstances. 

See appendix II for additional details on routine and nonroutine reports and disclosures. 

a

A version of the Form 5500—the Form 5500 report, the 5500 short form (5500-SF), or the 5500 EZ—

is required of most plans.

b

Form 5500 schedule MB is required of certain defined contribution money purchase plans in addition 

to all multiemployer DB plans.
 

Page 15 GAO-14-92 Reports and Disclosures

c

Schedule I is not required of plans that file Form 5500 short form.

d

The summary plan description is not required of certain types of plans (such as “top hat” plans and 

simplified employee pension plans) that meet the conditions for alternate method of compliance.

Beyond routine reporting and disclosure requirements, federal statutes 

and related regulations have also given rise to more than 100 different 

nonroutine reports and disclosures that may be required to be provided 

on a one-time basis when a specific triggering event or condition affects 

the plan or participant. In some cases, the conditions triggering a report or 

disclosure are fairly common, while other conditions are very rare. For 

example, one relatively common event is when a participant in a plan 

separates from employment with deferred vested benefits. In such cases, 

plan sponsors are required to file an annual registration statement 

identifying participants with deferred vested benefits (8955-SSA) with IRS 

and provide a disclosure to the separating participants about their 

benefits.38 Another event that occurs fairly frequently is when a plan 

sponsor seeks a determination on the tax-qualified status of its plan from 

IRS. We identified six individual reports and one disclosure associated 

with such tax determination requests. IRS data indicate that plan 

sponsors submit at least 17,000 filings of these reports annually.

However, conditions that trigger most of the nonroutine reports and 

disclosures are relatively rare. Of the 40 nonroutine reports for which 

agencies provided data, only 5 had more than 5,000 filings in the most 

recent data year available.

39 Many (20) of the nonroutine reports for which 

data were reported had fewer than 100 filings. Several of the nonroutine 

reports with fewer than 100 reported filings are required of singleemployer DB plans when an event occurs that might put plan benefits at 

risk, such as underfunding of the plan, bankruptcy, or distress 

termination. For example, each contributing sponsor of a single-employer 

DB plan, or a member of a contributing sponsor’s controlled group, is 

required to submit an annual report of financial and actuarial information 

to PBGC (also known as the 4010) if the plan is less than 80 percent 

funded, could be subject to a lien, or still owe a portion of previously 

 

3826 U.S.C. § 6057(e) and 29 U.S.C § 1025(c). Plan sponsors must also file an 8955-SSA 

when previously reported participants with deferred vested benefits receive a distribution 

of those benefits. In plan year 2012, plan sponsors submitted 316,581 8955-SSAs, which 

is equal to about one-third of the Form 5500, EZ, and SF reports filed in fiscal year 2011.

39Agencies provided data from various time periods measured by plan years and fiscal 

years from 2011-2012.

Nonroutine Reports and 

Disclosures Are Triggered 

by Certain Events
 

Page 16 GAO-14-92 Reports and Disclosures

missed required contributions exceeding $1 million.40 In fiscal year 2011, 

DB plan sponsors submitted 340 such reports.41 In addition, 7 of the 

nonroutine reports may be required if the sponsor of a single-employer 

DB plan makes various changes, such as a change in plan ownership; 

none had more than 40 filings in fiscal year 2012.

Labor’s mission includes efforts to ensure the security of Americans’ 

retirement benefits by assisting and educating workers, plans sponsors, 

fiduciaries, and service providers, and by vigorously enforcing the law.42

The need for such efforts is clear, especially with respect to helping plan 

sponsors navigate a complex system of more than 70 different reports 

and 60 different disclosures, and identify which they may be required to 

submit. Yet, the online resources provided by Labor and the other ERISA 

agencies to support plan sponsors in this process are not clear, 

comprehensive, or up-to-date.

As discussed above, a plan’s type, size, and circumstances determine 

which routine reports and disclosures are required. Also, although many 

nonroutine reports and disclosures are limited to specific types of plans 

and are fairly rare, sponsors may find it challenging to recognize when 

 

40Specifically, the law requires single-employer DB plans to provide PBGC with 

information annually regarding the plan’s assets and liabilities and copies of the plan’s 

financial statements if any of the plan’s contributing sponsors or control group members 

maintained a plan that meets one of the following conditions during an information year: 

(1) a plan with a funding target attainment percentage of less than 80 percent; (2) a plan 

that meets the conditions for imposition of a lien; or (3) a plan that has been granted 

minimum funding waivers in excess of $1 million and a portion is still outstanding. 29 

U.S.C. § 1310. Certain waivers apply if, for example, the controlled group’s aggregate 

underfunding does not exceed $15 million. 29 C.F.R. § 4010.11.

41Section 4010 filers file at the corporate (controlled group) level and provide information 

at the plan level in the same filing. Controlled group submissions may include information 

for more than one plan. The 340 submissions in 2011 represents 598 plans. Due to the 

grouped filing and exceptions and waivers regarding who must file a 4010, the number of 

plans represented in 4010 submissions is significantly smaller than the number of 

underfunded plans. 

42ERISA imposes certain obligations on plan fiduciaries. Under ERISA, a person generally 

acts as a plan fiduciary when he or she (1) exercises any discretionary control or authority 

over plan management or any authority or control over plan assets, (2) renders investment 

advice for compensation respecting plan assets, or has authority or responsibility to do so, 

or (3) has any discretionary authority or responsibility over plan administration. 29 U.S.C. 

§ 1002(21).

Agencies Do Not Provide 

Clear and Comprehensive 

Information to Facilitate 

Compliance 
 

Page 17 GAO-14-92 Reports and Disclosures

their actions or circumstances have triggered the need for a report or 

disclosure. In addition, in some cases, reports and disclosures are subject 

to special requirements regarding to whom the information must be 

provided. For example, the annual funding notice—a routine report for all 

DB plans under Labor’s purview—is required to be sent to PBGC, as well 

as to each plan participant and beneficiary, each labor organization 

representing such participants or beneficiaries and, in the case of 

multiemployer plans, to each employer that has an obligation to contribute 

to the plan.43 Another example is the notification of resource benefit 

level—a nonroutine report triggered by insolvency in a multiemployer DB 

plan that does not terminate.44 This report is required to be sent to PBGC, 

with copies to IRS, employers, employee organizations, participants, and 

beneficiaries. Adding to the complexity for many plan sponsors is the fact 

that they may sponsor more than one plan, so the burden of reporting is 

magnified. A plan sponsor may offer multiple plans of differing types and

designs to employees. Alternatively, a sponsor may have stopped offering 

one type of plan and begun offering another—as with the shift from a DB 

to a DC plan, a growing trend over the past 3 decades—and as a result, 

may not be as familiar with the requirements applicable to the new plan 

type. In addition, even if a sponsor freezes a plan—that is, stops new 

employees from joining the plan, or stops previous employees from 

continuing to accrue benefits under the plan—certain reports and 

disclosures continue to be required until the plan terminates.45

In our efforts to identify required reports and disclosures, we found that 

each ERISA agency provides some online resources regarding these 

requirements. However, the resources provided are neither 

comprehensive nor up-to-date. They do not individually or as a whole 

provide sufficiently detailed, complete, up-to-date, and searchable 

information to allow plan sponsors to easily identify the reports and 

disclosures they must submit to be in compliance.

Labor’s website provides the best information available from agencies 

through a guide listing many required reports and disclosures;46 however, 

 

4329 U.S.C. § 1021(f)(1).

4429 U.S.C. § 1426(e)(2). 

45GAO, Private Pensions: Timely and Accurate Information Is Needed to Identify and 

Track Frozen Defined Benefit Plans, GAO-04-200R (Washington, D.C.: Dec 17, 2003).

46www.dol.gov/ebsa/pdf/rdguide.pdf.
 

Page 18 GAO-14-92 Reports and Disclosures

as we worked with the agencies to refine the list of reports and 

disclosures we had identified, we found that the guide was neither 

comprehensive nor fully accurate. To start, the guide is incomplete: it 

does not include many of the IRS reports and disclosures or several 

reports and disclosures under Labor’s and PBGC’s purview. Also, 

because the guide has not been updated since October 2008, it does not 

include recent reporting and disclosure requirements, such as the 

participant fee disclosure requirement, implemented in 2012. In addition, 

although the guide provides some information about the plan type that 

must report, to whom reports and disclosures must be provided, and 

citations to applicable federal laws, as well as available forms and model 

language and formats for some disclosures (referred to as “model 

notices”), this information is not systematic or comprehensive. Labor’s 

guide does not always provide legal citations and, when provided, it does 

not list them consistently in the same place in the descriptions of each 

report and disclosure. Moreover, Labor’s guide does not list all available 

model notices that might aid plan sponsors in compliance. For example, 

the guide does not indicate that there is a model for the annual funding 

notice or the notices of intent to terminate for standard and distress 

terminations.

PBGC’s and IRS’s websites also provide information on pension plan 

sponsors’ reporting and disclosure requirements, including links to 

Labor’s guide, but neither provides comprehensive information. For 

example, PBGC’s website page on reporting and disclosure features 

certain selected requirements for DB plans, such as the annual funding 

notice, the annual report of financial and actuarial information (also known 

as the 4010), and other reportable events.47 Other links to reports and 

disclosures are available on PBGC’s website but they are not in a central 

location or easily searchable, which may make it difficult for plan 

sponsors to reliably determine if they have met all requirements. Similarly, 

IRS provides descriptions of certain selected reports and disclosures at 

several locations across its website. For example, the IRS site provides a 

page targeted to plan sponsors with brief descriptions of various reports 

that may be required,48 and another page targeted to employees with 

 

47http://www.pbgc.gov/prac/reporting-and-disclosure.html. 

48http://www.irs.gov/Retirement-Plans/Plan-Sponsor/A-Plan-Sponsor’s-Responsibilities. 
 

Page 19 GAO-14-92 Reports and Disclosures

brief descriptions of various disclosures that may be required.49 However, 

these descriptions do not include information about the types of plans 

responsible for providing the reports and disclosures and the lists are not 

comprehensive.

Our review of plan sponsor reports to agencies revealed only minimal 

redundancy, which was consistent with what we heard from associations 

we interviewed. We reviewed the content of routine reports that DC plans 

are required to submit annually or more frequently and found duplication 

only in plan identifying information and contact information for plan 

sponsors and administrators.

The general absence of duplication in reports to agencies may be due, in 

part, to the large portion of routine agency reporting subsumed by the 

Form 5500 annual report and its schedules, which are administered jointly 

by Labor, IRS and PBGC. By working together to develop the Form 5500 

and its schedules, the three agencies can share the content and 

employee benefit plans can satisfy various annual reporting requirements 

under Title I and Title IV of ERISA and under the IRC. In addition, agency 

officials noted that representatives from all three agencies continue to 

meet regularly to look for opportunities to clarify and simplify the 5500 and 

its schedules.

Other efforts to eliminate unnecessary reporting by plan sponsors include 

actions taken under Executive Order 13,563, which calls on agencies to 

reduce their regulatory burden.50 Both Labor and PBGC are considering 

 

49http://www.irs.gov/Retirement-Plans/Plan-Participant,-Employee/Retirement-Topics—-

Notices. 

50Exec. Order No. 13,563, 76 Fed. Reg. 3821 (Jan. 21, 2011). This order calls for a 

periodic review of existing regulations and determination of whether any of them should be 

modified, streamlined, expanded or repealed.

Reports Involve 

Minimal Duplication, 

but Some Data Are 

Not Being WellManaged 

Minimal Duplication 

Reflects Agency Efforts to 

Eliminate Unnecessary 

Reporting 
 

Page 20 GAO-14-92 Reports and Disclosures

actions that would reduce plan sponsor reporting requirements as a result 

of the order. For example, Labor is considering permitting certain 

individual account plans whose sponsors are in bankruptcy to file a 

summary terminal report instead of an annual Form 5500 report, which 

would allow plans to avoid costly annual audit fees that otherwise would 

diminish plan assets.51 PBGC has also proposed new waivers that would 

allow some plans, identified as lower risk, to be exempt from certain 

reporting.52 IRS officials described several initiatives under way in 

response to the executive order, but noted that none of these efforts are 

specifically focused on simplifying regulations related to pension reports 

and disclosures. All three agencies are also subject to the Paperwork 

Reduction Act, which requires that they manage information resources to 

reduce information collection burdens and obtain approval from OMB for 

their information collection requests.53

In general, plan sponsor representatives told us that they find the extent 

of duplication across reports to agencies to be minimal and not onerous. 

However, two associations and a service provider noted inconsistency 

between information reported on fees by service providers to sponsors54

and information sponsors are required to report on the Form 5500 

schedule C.55 According to one industry representative, inconsistent 

definitions across the two reports result in vast differences in the content, 

making the service provider report less useful to plan sponsors as they 

prepare schedule C. Specifically, while both reports require information 

on service providers and indirect compensation, these terms are defined 

differently in the two reports. Labor officials explained that the service 

 

51Amendments to the Abandoned Plan Regulations, 77 Fed. Reg. 74,063 (Dec. 12, 2012).

52Reportable Events and Certain Other Notification Requirements, 78 Fed. Reg. 20,039 

(Apr. 3, 2013). PBGC has also proposed revisions to premium due dates and related 

changes intended to reduce regulatory burden. Premium Rates; Payment of Premiums; 

Reducing Regulatory Burden, 78 Fed. Reg. 44,056 (July 23, 2013)

5344 U.S.C. § 3506(b)(1)(A). A central goal of OMB review is to help agencies strike a 

balance between collecting information necessary to fulfill their statutory missions and 

guarding against unnecessary or duplicative information that imposes unjustified costs on 

the American public. Under the Paperwork Reduction Act, OMB may approve a request 

for information collection for up to three years at one time. 44 U.S.C. § 3507(g).

5429 C.F.R. § 2550.408b-2. Because such reporting is from service providers to plan 

sponsors and fiduciaries it is not included in our lists of required reports and disclosures 

submitted by plan sponsors in appendix II.

5529 U.S.C. § 1024.
 

Page 21 GAO-14-92 Reports and Disclosures

provider disclosure is prospective, to provide plan sponsors with fee 

information from service providers before entering into a contract. 

schedule C is retrospective, and provides information on the actual fees 

paid. Labor officials said the agency has received requests to change 

schedule C to better harmonize these requirements and is considering 

doing so.

In our review of Labor’s call center data,56 we found that many 

participants were calling with questions about the potential private sector 

pension benefit information notice received from SSA,57 which provides 

information about private pension benefits retirees may be owed by a 

past employer. The notices from SSA are based on data that plan 

sponsors are required to report to IRS, and we found that that poor 

management of the data, spread across three agencies, results in 

misleading information included in notices provided to some retirees.

Sponsors of plans that had participants separate from employment with 

deferred vested benefits are required to submit an annual report to the 

IRS: the registration statement identifying separated participants with 

deferred vested benefits, also known as the 8955-SSA.58 IRS passes the 

information from the 8955-SSA to SSA. SSA then uses the data to inform 

retirees of the private pension benefits they may be entitled to when they 

apply for Social Security.59 The notice is intended to reflect all the 

deferred vested pension plan benefits claimants have earned from all 

 

56We evaluated summaries of calls to Labor benefits advisors from participants and 

beneficiaries between October 1, 2011 and December 31, 2012, to more fully include the 

perspective of participants on disclosures in this review. The information is not 

representative of the views of all plan participants, but only those who called Labor. The 

information we reviewed took the form of summaries logged by benefits advisors, not full 

transcripts of conversations. 

57Form SSA-L99-C1.

5826 U.S.C. § 6057(a). Each month, SSA checks the name and Social Security number of 

each new claimant for Social Security benefits to determine whether the claimant is listed 

in SSA’s pension benefit record. SSA mails a notice to each new claimant that the data 

indicates may be entitled to a benefit. 

59The SSA mails about 90,000 of these notices to new Social Security claimants each 

month, as required under 42 U.S.C. § 1320b-1(a). SSA also sends these notices to 

individuals upon request, and to claimants of a lump-sum death payment or hospital 

insurance coverage under Title XVIII of the Social Security Act. The notice is provided on 

Form SSA L99-C1. 

Poorly Managed Data for 

One Report Results in 

Misleading Notices to 

Retirees
 

Page 22 GAO-14-92 Reports and Disclosures

previous employment in the private sector over the course of their 

careers, minus any distributions received. However, the vested benefits 

data are not managed in a way that ensures their accuracy. If retirees 

have questions about the benefits or need assistance, the notice instructs 

them to contact their plan administrator, previous employer, or Labor. A 

plan sponsor and an association we spoke with said such inquiries 

require investigations into plan records only to find, in some cases, that 

the benefits have already been distributed.60

According to industry representatives, inquiries regarding inaccurate 

notices of potential benefits that had actually already been paid can be 

burdensome and costly. Representatives of one plan sponsor said that 

they recently received an inquiry based on an SSA notice that took 16 

hours to research because the record was from 1978. The plan sponsor 

representatives said the plan gets so many inquiries from retirees that it 

employs a full-time staff person at $60,000 per year to research potential 

benefits, and that the inquiries mean that the plan must retain participant 

benefit records in perpetuity. Officials from an association said that 

inquiries regarding potential benefits can create an administrative 

headache, even when no benefit is owed. They added that misreporting 

happens “a lot.”

We explored the reasons behind erroneous reports of potential benefits to 

retirees and found that decentralized administration, lack of data 

validation, unclear guidance, and paper reporting all create challenges to 

managing the data. Responsibility for the information is fragmented 

across three agencies: IRS, SSA, and Labor (see figure 3). The IRC 

requires plan sponsors to file the 8955-SSA reports with the IRS, but 

according to IRS officials, IRS does not use the data. As the statute 

requires, IRS passes the data along to SSA. SSA houses the data; 

eventually extracting individual records to send notices to retirees when 

they apply for Social Security. Finally, Labor is designated on the notice 

as the agency to contact for assistance, even though Labor is not 

 

60A recent study by the SSA’s Office of Inspector General found that when participants 

inquired about the benefits listed in the notice, they sometimes found that they were not 

actually due. Specifically, the study found that of the 14 cases they reviewed where 

participants made inquiries that had been resolved, 11 were not due benefits. Social 

Security Administration, Office of the Inspector General, Quick Response Evaluation, 

Employee Retirement Income Security Act Notices, A-13-11-01141, September, 2011. 
 

Page 23 GAO-14-92 Reports and Disclosures

involved in either the collection or maintenance of the data.61 SSA officials 

noted that some participants need help from Labor to locate past 

employers when the employer contact information on the notice is 

outdated, which can often be the case due to mergers and acquisitions.62

However, according to agency officials, none of these agencies ensures 

that the data are updated and accurate over time. IRS simply collects and 

passes the data on to SSA. Rather than validate the accuracy of the data, 

SSA characterizes the information contained in its notices as describing 

potential pension plan benefits. Our review of Labor’s call center data 

indicated that when participants called Labor about a potential benefit 

notice, benefits advisors often told participants the information was not 

reliable because the data are not regularly updated or verified and, in 

some cases, may be inaccurate.63

 

61Data on participant calls to Labor show that Labor also helps participants understand 

the notice. 

62The potential private pension benefit information notice (Form SSA-L99-C1) states: “If 

you have questions, you should contact the Plan Administrator. If you cannot locate the 

Plan Administrator, contact your former employer. If you cannot locate your former 

employer, check the reference department of your local library or contact your State’s 

corporation commission. This agency should be in the State Government section of the 

telephone directory.” 

63Although the data on benefits owed is not verified, SSA officials said they do verify that 

the Social Security number listed in the notice is valid. 
 

Page 24 GAO-14-92 Reports and Disclosures

Figure 3: Fragmented Management of Data on Deferred Pension Benefits

a

The plan sponsor is also required to provide participants with an individual statement, as required 

under 26 U.S.C. § 6057(e), at the time that form 8955-SSA notice is filed with IRS.

Unclear guidance is another factor that may be contributing to inaccurate 

data. We found the 8955-SSA instructions confusing, with seemingly 

conflicting guidance about whether participants with benefit payouts 

should be reported. One section of the 2012 instructions directs plan 

sponsors to identify distributions of benefits to previously-reported 

participants. Specifically, plan sponsors are directed to use a code to 

identify participants who were previously reported but are no longer 

entitled to deferred vested benefits, including participants receiving lumpsum payouts or participants transferred to another plan. However, the 

form’s instructions also contain a section titled “When Not to Report a 

Participant” which instructs plan sponsors not to report participants who 

have been paid some or all of their deferred vested benefit. According to 

IRS officials, this part of the notice relates to when to report a participant 
 

Page 25 GAO-14-92 Reports and Disclosures

for the first time; however, this may not be clear to some plan sponsors. 

In addition, in a meeting with employee benefits tax experts from eight 

different organizations, representatives of one association of certified 

public accountants told us that reporting distributions had not always 

been required. Although SSA would need such information to accurately 

update the data on benefits still owed over time, SSA officials said the 

IRS is the agency responsible for establishing the reporting requirements.

In addition, plan sponsors are not required to submit the 8955-SSA 

electronically. Most submit it on paper, and some are handwritten, which 

may also contribute to inaccurate data. In 2012, SSA officials only 

received about 20 percent of the 8955-SSA submissions electronically 

from IRS. SSA officials estimated they will spend $668,000 in fiscal year 

2013 processing the paper workload associated with the 8955-SSA, 

which includes paying a contractor to scan the documents into an 

electronic format. Data that cannot be scanned successfully are keyed in 

manually. Although electronic submissions could be less prone to data 

entry errors, as well as less costly to process, currently IRS is prohibited 

by statute from requiring that all sponsors submit information 

electronically, with limited exceptions.64

The importance of tracking an individual’s pension benefits has grown as 

workers continue to have multiple jobs over the course of their careers. 

Each time an employee separates from employment, vested benefits may 

be left in the former employer’s plan. As a result, over time, an individual 

may have accrued benefits that are left in several different plans.65 The 

8955-SSA is currently the only mechanism we identified for tracking a 

 

6426 U.S.C. § 6011(e)(1). The information on the 8955-SSA was previously included on 

the Form 5500. However, when the 5500 was required to be submitted electronically in 

2010, the form was stripped of information that was required to be reported to IRS to 

comply with the statutory prohibition. As a result, a separate 8955-SSA form was created. 

Treasury recently proposed regulations that would mandate electronic filing for form 8955-

SSA to the extent permitted by current statute. Employee Retirement Benefit Plan Returns 

Required on Magnetic Media, 78 Fed. Reg. 53,704 (Aug. 30, 2013).

65We previously reported on the challenges of the 401(k) rollover process (GAO-13-30). If 

a participant’s pool of retirement savings is fragmented across multiple plans and IRAs, 

over time, the sum of the fees associated with the various plans may be greater than if the 

participant had consolidated their savings. We previously reported that even a seemingly 

small fee, such as a 1 percent annual charge, can significantly reduce 401(k) plan savings 

over the course of an individual’s career. GAO, Private Pensions: Changes Needed to 

Provide 401(k) Plan Participants and the Department of Labor Better Information on Fees, 

GAO-07-21 (Washington, D.C.: Nov. 16, 2006). 

Excerpt of Potentially Confusing 2012 

8955-SSA Instructions:

“When Not To Report a Participant

A participant is not required to be reported on 

Form 8955-SSA if, before the date of the 

Form 8955-SSA is required to be filed 

(including any extension of time for filing), the 

participant:

1. Is paid some or all of the deferred vested 

retirement benefit (See Caution below),

2. Returns to service covered by the plan 

and/or accrues additional retirement 

benefits under the plan, or 

3. Forfeits all the deferred vested retirement 

benefit.

If payment of the deferred vested 

retirement benefit ceases before ALL of the 

participant’s benefit is paid to the participant 

or beneficiary, information on the participant’s 

remaining benefit shall be filed on the Form 

8955-SSA filed for the plan year following the 

last plan year within which the payment 

ceased.”

Source: 2011 Form 8955-SSA instructions.
 

Page 26 GAO-14-92 Reports and Disclosures

participant’s retirement benefits earned over time and left in plans of 

various employers.

Despite the need for reliable benefit tracking, as long as management of 

the data remains fragmented, improvement in the accuracy of the data is 

unlikely. Beyond issuing the form and instructions, IRS views its role as 

merely to serve as a pass-through of the data from plan sponsors to SSA, 

SSA views its role as merely to provide retirees with whatever data they 

receive from IRS, and Labor views its role as merely to respond to 

inquiries. None voiced a willingness to assume responsibility for ensuring 

the accuracy of the data. As the agency that individuals contact when 

they are ready to retire, SSA may be the agency best situated to provide 

the notices to retirees about previously-earned private pension benefits. 

However, as the agency with primary responsibility for administering and 

enforcing private pension plans’ reporting requirements under ERISA, we 

believe Labor may be best situated to provide consistent guidance and 

instruction, collect and maintain accurate data electronically, and respond 

to retiree inquiries on their benefits. Labor already administers a program 

to help participants track down their pension benefits. Under Labor’s 

Abandoned Plan Program, the Employee Benefits Security Administration 

helps participants obtain their benefits when their plan lacks a responsible 

sponsor or administrator. In addition to Labor’s program, PBGC maintains 

a database of missing participants with benefits in plans that have been 

terminated, and is in the process of expanding this program to include DC 

plans.66

 

66In response to a provision in the PPA (§ 410, 120 Stat. 934-35), PBGC recently 

published a request for information from the public about including the benefits of missing 

participants in terminating individual account (i.e., DC) plans. Missing Participants in

Individual Account Plans, 78 Fed. Reg. 37,598 (June 21, 2013). Under ERISA, PBGC 

locates missing participants in insured DB single-employer plans that have terminated (29 

U.S.C. § 1350), and is currently in the process of expanding the program to include DC 

plans, multiemployer DB plans, and the plans of small professional services employers.
 

Page 27 GAO-14-92 Reports and Disclosures

The quantity of information that plan sponsors are required to disclose 

may be overwhelming and confusing to participants. We found that the 

content, presentation, and the grade-level at which disclosures are written 

may also present barriers to communication.67 Concerns about the 

readability of participant disclosures are not new. In 2005 and again in 

2009, the ERISA Advisory Council (EAC)68 held hearings on the 

difficulties pension disclosures impose on both plan sponsors and 

participants.69 Following the hearings in 2009, the EAC recommended 

improvements to individual participant disclosures and the system as a 

whole, including a recommendation that Labor review all pension plan 

disclosures required under Title I of ERISA to identify opportunities for 

streamlining. Although Labor agreed that disclosures would benefit from a 

comprehensive review, officials told us they had not yet implemented that 

recommendation.

The breadth and complexity of pension plan sponsors’ disclosure 

requirements have increased significantly since ERISA was enacted in 

1974. As described earlier, our review identified more than 60 different 

disclosures to participants that pension plan sponsors may be required to 

provide, depending on their plans’ type, size, and circumstances.

Within ERISA’s overall reporting and disclosure framework, disclosures 

are intended to ensure that employee benefit plans are operated and 

managed in accordance with certain prescribed standards and that 

 

67For more on how we evaluated disclosures on these factors, see appendix 1. 

68ERISA established an Advisory Council on Employee Welfare and Pension Benefit 

Plans, known as the ERISA Advisory Council (EAC). 29 U.S.C. § 1142.The duties of the 

EAC are to advise the Secretary of Labor and submit recommendations regarding the 

Secretary’s functions under ERISA.

69The EAC solicited testimony from witnesses from a broad cross-section of the retirement 

community, including Labor officials and representatives from associations, service 

providers, academics, and participant advocacy groups in 2009. See Advisory Council on 

Employee Welfare and Pension Benefit Plans. Promoting Retirement Literacy and 

Security by Streamlining Disclosures to Participants and Beneficiaries, accessed October 

2, 2012, http://www.dol.gov/ebsa/publications/2009ACreport2.html. 

Large Number of 

Participant 

Disclosures Do Not 

Always Communicate 

Effectively 

Quantity of Information 

May Overwhelm 

Participants

Number of disclosures is 

increasing 
 

Page 28 GAO-14-92 Reports and Disclosures

participants, beneficiaries, and regulators, have sufficient information to 

protect the rights and benefits of participants and beneficiaries under 

employee benefit plans. Thus, while some disclosures provide 

participants with information about their individual benefits, often 

disclosures also serve to hold plan fiduciaries to account for their actions.

Participants’ calls to Labor focus on their individual benefits and 

retirement security. Plan sponsor disclosures that provide benefit 

information specific to a participant or provide information on what 

participant benefits are under the plan include the periodic pension 

benefit statement and the SPD. According to representatives of plan 

sponsors, associations, and participant advocacy groups we interviewed, 

these are the most useful and important types of disclosures for 

participants. They can help participants secure employer matching 

contributions to their 401(k) plans and help participants understand to 

what extent their benefits can fund their retirement. Such information can 

help participants obtain tax benefits or avoid tax penalties.70 In contrast, 

disclosures mainly serving accountability purposes generally do not 

provide information specific to the retirement security of individual 

participants, focusing instead on aspects such as the funding or legal 

compliance of the plan as a whole.

 

70Representatives of one participant advocacy group noted that, to help participants better 

understand their benefits; participants should also have continuous access to previous 

SPDs, as well as better information about their benefits. Specifically, it was suggested that 

those in DC plans should be provided projected monthly benefits at different retirement 

ages (i.e., if their current savings were converted to a lifetime annuity at age 55, 60, and 

65). In 2010, Labor and IRS published a request for information that would be relevant to 

such a suggestion. Request for Information Regarding Lifetime Income Options for 

Participants and Beneficiaries in Retirement Plans, 75 Fed. Reg. 5,253 (Feb. 2, 2010).

Another participant advocate said participants in DB plans should be provided information 

about how their benefit was calculated (i.e., if the formula is 30 percent of the average of 

the 3 highest earning years, participants should be provided the data used in the 

calculation—specifically, which were the highest earning years and how much income was 

recorded for each of those years). 
 

Page 29 GAO-14-92 Reports and Disclosures

While requiring fiduciaries to disclose financial information about the plan 

may serve accountability purposes, as noted by a Labor official testifying 

before the EAC, the quantity of disclosures creates significant 

communication challenges as participants struggle with what they must or 

should read. For example, participants may receive a disclosure offering 

them an opportunity to comment on whether their plan should be taxqualified, another notifying them that the plan has applied for a waiver of 

the minimum funding standard, and a summary annual report or annual 

funding notice providing annual plan-wide statistics. In addition, an 

academic researcher observed that participants do not understand what 

information is most relevant to their investment choices. Based on such 

testimony, the EAC concluded in 2009 that disclosures often go unread 

because participants feel overwhelmed by too much information.

Our interviews with various group echoed these concerns. One 

participant advocate said participants are being “flooded” with information 

from their plans, and an association representative commented that there 

is too much information for it to be useful to participants. A service 

provider noted that at retirement, participants get at least 20 pieces of 

paper, which is too much information to read and act on. According to 

several groups we spoke with, the quantity of information diminishes the 

positive effects it can have for participants. Service providers and 

associations said participants may miss important information because 

they have to read through such a large quantity of other content to find it, 

and many participants rarely read the disclosures they receive. 

Furthermore, Labor officials noted that, although some plan sponsors pay 

all the expenses of their plans, the cost of participant disclosures in DC 

plans is often paid from participant accounts through added direct fees or 

indirect charges to plan investments. One association commented that 

participants would not want to receive all the currently mandated 

disclosures if they understood they were paying for them.

The agencies have taken some steps to facilitate the consolidation of 

disclosures. For example, in 2007 Labor and IRS worked together to 

develop a model notice to assist plan sponsors to comply with four 

disclosure requirements in a single, stand-alone document.71 However, 

 

71Labor provides a link to a model notice which satisfies the disclosures required by both 

the IRC (26 U.S.C. §§ 401(k)(13) and 414(w)), and ERISA (29 U.S.C. §§ 1104(c)(5) and 

1144(e)(3)) in Field Assistance Bulletin 2008-03, http://www.irs.gov/pub/irstege/sample_notice.pdf.

Concerns raised about quantity 

of disclosures

Excerpt from the Model Notice

of Application for a Waiver of the Minimum 

Funding Standard:

“This notice is to inform you that an 

application for a waiver of the minimum 

funding standard under § 412(d) of the 

Internal Revenue Code (Code) and section 

303 of the Employee Retirement Income 

Security Act of 1974 (ERISA) has been 

submitted by [INSERT PLAN SPONSOR’S 

NAME] for the plan year beginning [INSERT 

DATE]. Under § 412(f)(4)(B) of the Code and 

section 303(e)(2) of ERISA, the Service will 

consider any relevant information submitted 

concerning this application for a waiver of the 

minimum funding standard. You may send 

this information to the following address...”

Source: IRS Internal Revenue Bulletin 2004-07.

Limited efforts to streamline 

disclosure requirements 
 

Page 30 GAO-14-92 Reports and Disclosures

such examples are rare. In our review we found several instances of 

nearly identical statements appearing in multiple disclosures. The 

participant benefit statement, the disclosure of plan fees and expenses, 

and the QDIA are all required to contain explanations of limitations on the 

rights of participants to direct investments. Similar statements about plan 

funding appear in both the annual funding notice and the notice of critical 

or endangered status.72 The SPD, required of most DB and DC plans, 

generally includes a description of eligibility requirements, benefits, and 

circumstances in which benefits may be reduced, while other disclosures 

also contain similar information. But, in other cases, the information in 

disclosures is fairly unique. For example, we reviewed selected 

disclosures from samples provided by a plan sponsor organization, 

comparing the content of two disclosures provided to employees when 

they separate from employment with six disclosures that are provided 

routinely to all participants once they join a plan, and we found minimal 

overlap across these disclosures.

Another way that disclosures can be consolidated is by combining them in 

a single mailing. Labor and IRS officials said they generally allow 

disclosures to be combined in a single mailing. However, plan sponsors 

may find the guidance is unclear. According to one service provider, there 

is no explicit, broadly applicable guidance encouraging the practice when 

disclosure schedules align, and current industry practice is to keep them 

separate. Certain nonroutine disclosures cannot be combined for practical 

purposes, as they are timed to coincide with a triggering event that may 

not coincide with another mailing. Moreover, in one case, combining 

disclosures is expressly discouraged. The preamble to the final QDIA 

notice regulations states that if the QDIA notice were combined with the 

SPD, the length and complexity of SPDs might lead to participants 

missing the QDIA information. According to Labor officials it is not clear 

that participants benefit from receiving a large quantity of information all 

at once. As noted above, the quantity of content participants receive can 

be overwhelming and cause participants to miss important information 

because there is so much to read.

Nevertheless, agencies could make further efforts to streamline 

disclosures. For example, we previously recommended that Congress 

 

72We previously recommended Congress consider consolidating these funding notices to 

eliminate duplication. GAO, Private Pensions: Changes Needed to Better Protect 

Multiemployer Pension Benefits, GAO-11-79 (Washington, D.C.: October 18, 2011).
 

Page 31 GAO-14-92 Reports and Disclosures

consider consolidating the annual funding notice and the notice of critical 

or endangered status to eliminate duplication.73 One association 

representative we spoke with noted that agencies could provide 

regulatory relief to sponsors by allowing them to refer participants to the 

SPD for information, as is already done to some extent, rather than 

repeating it in various disclosures.

While participants may receive a large quantity of content from their 

plans, our review of Labor’s call center data indicates that many 

participants call with basic questions about their rights to benefits. Much 

of this information is included in the plan’s SPD. In a framework of 

disclosures intended to help participants protect their rights and benefits 

under their plans, the SPD is required to explain those rights and benefits. 

Labor described the content of the SPD, along with the relevant summary 

of the material modifications, to OMB in 2013 as the single most 

important source of information about a plan for the plan participants.74

Plan sponsors are required to provide SPDs to participants when they 

initially join the plan, but then plan sponsors are only required to provide 

SPDs again to participants every 5 years if the plan has changed, or 10 

years if the plan has not changed.75 Also, unlike parts of DB plan annual 

reports, the SPD is not required to be posted to plan sponsor intranet 

sites.76 As a result, if participants have questions and cannot find their 

SPDs, Labor’s benefits advisors must first help participants obtain a copy 

of their SPDs by advising participants to mail a certified letter to their plan 

 

73GAO, Private Pensions: Changes Needed to Better Protect Multiemployer Pension 

Benefits, GAO-11-79 (Washington, D.C.: Oct. 18, 2011).

74U.S. Department of Labor, Summary Plan Description Requirements under ERISA: 

Supporting Statement for Paperwork Reduction Act Submissions, OMB Number 1210-

0039, April 2013. 

75In addition, when the plan administrator changes the content of the SPD, participants 

are not required to be provided a summary of the material modifications until 210 days 

after the end of the plan year in which the change was made. In testimony before the EAC 

in 2005, several witnesses said that deadline was so late it made the summary useless to 

the participant. 

76Actuarial information included in the annual report must be displayed on any intranet 

website maintained by the plan sponsor for the purpose of communicating with 

employees. 29 U.S.C. § 1024(b). Generally, a plan’s full annual report is publicly available 

online on Labor’s website. We also found several employers willing to post their plan’s 

SPD to their public website.

Participants often lack basic 

information
 

Page 32 GAO-14-92 Reports and Disclosures

administrator requesting one, and occasionally contacting employers on 

their behalf.77

The rollover notice, with information on distribution options, conveys 

information that is important for participants to have, especially when 

deciding whether to take a distribution from their plans. However, 

participants may not be receiving timely access to this information. As we 

recently reported, IRS regulations do not require plans to provide the 

requisite distribution information when a participant separates from 

employment, but rather within a specified window of time before the 

receipt of a distribution. We identified no requirements to ensure that 

participants receive timely information on their distribution options before 

they make a decision to take a distribution.78

ERISA’s and IRC’s disclosure requirements often specify that notices be 

written in a manner calculated to be understood by the average 

participant (see app. III). For other disclosures without this specific 

language about readability in the underlying statute, Labor officials noted 

that ERISA’s basic fiduciary standards would also require that plan 

sponsors consider how understandable participant disclosures are as part 

of their fiduciary duty.79 Nevertheless, our review found that disclosures 

often contain complex content and are difficult to understand. The 

complexity of disclosures varies, and some model notices also fall short. 

According to agency officials, ERISA agencies do little to enforce the 

statutes’ readability provisions.

 

77In the past, plan sponsors were also required to file SPDs with Labor. The Taxpayer 

Relief Act of 1997 eliminated that requirement. 

78The rollover notice is required under 26 U.S.C. § 402(f). We recently reported that 

401(k) plan participants separating from their employers need help to obtain and 

understand information about their distribution options. If participants have more than 

$5,000 in their account and are not normal retirement age, they can generally leave their 

funds with their previous employer, but the 402(f) notice does not mention that option. We 

reported that an employer-sponsored plan environment generally has lower fees and

better comparative information. Also, with employer-sponsored plans, ERISA plan 

fiduciaries are required to select and monitor investment options in the best interest of 

participants. GAO, 401(k) Plans: Labor and IRS Could Improve the Rollover Process for 

Participants, GAO-13-30 (Washington, D.C.: March 7, 2013).

79A fiduciary shall discharge his duties with respect to a plan solely in the interest of the 

participants and beneficiaries and for the exclusive purpose of providing benefits to 

participants and their beneficiaries and defraying reasonable expenses of administering 

the plan. 29 U.S.C. § 1104.

Disclosures Are Often 

Confusing 
 

Page 33 GAO-14-92 Reports and Disclosures

While complex information is required to be included in the disclosures in 

many cases by statute, the readability of disclosures also depends, in 

part, on how the plan sponsor writes them. Representatives of one plan 

sponsor we spoke with said they use field tests and polls to determine 

whether their communication with participants is effective, and they strive 

to write disclosures at an eighth-grade reading level. A participant 

advocacy group representative commented that some plan administrators 

definitely do a better job than others in terms of the readability of their 

disclosures. However, representatives from two participant advocacy 

groups we interviewed told us that the content of certain disclosures is 

confusing for participants. For example, one group commented that some 

notices are written in language that even lawyers cannot understand. A 

service provider we interviewed commented that although the model 

blackout notice (a nonroutine disclosure that may be triggered for DC 

plans) is seven paragraphs long, sponsors should be able to 

communicate its content in only three or four sentences. To gain some 

insight on participant perspectives, we also analyzed calls participants 

made to Labor’s call center during fiscal year 2012. We found that 

participants often had questions because they did not understand the 

content of a disclosure or why it was sent to them. Some callers stated 

that they did not know how to interpret a disclosure and were frustrated or 

alarmed, suspecting their benefits might be in jeopardy. 

Table 2 summarizes some of the comments made in our interviews with 

plan sponsor representatives and participant advocacy groups, in 

participant calls to Labor, and in EAC reports about the challenges related 

to three disclosures that were frequently mentioned: the summary annual 

report, the annual funding notice, and the notice of an IRS request for 

determination.

Complexity of disclosures 

varies 
 

Page 34 GAO-14-92 Reports and Disclosures

Table 2: Comments on Disclosures Identified as Difficult to Understand 

Disclosure Description Selected comments about challenges with disclosures

Summary annual report Among other plan information, the 

summary annual report provides DC 

and some DB plan participants the total 

assets, income, expenses, and the 

number of participants in the plan.

• Witnesses before an EAC working group in 2005 said 

that the text format of the summary annual report is an 

ineffective way to present financial data, and that the 

disclosure should be eliminated if it is not redesigned 

to be more useful and informative. 

Annual funding notice This notice provides DB plan 

participants with actuarial data about 

the plan’s funding, including the plan’s 

funding target attainment percentage 

(FTAP) for the last 3 years and general 

information about the benefits 

guaranteed by the PBGC. The notice 

provides statements on the plan’s credit 

balance and detailed information about 

how the plan’s assets are invested.

• Representatives from an association of actuaries told 

us the notice is largely not read or not understood, and 

only a few of the numbers in the notice could 

conceivably be useful.

• A participant called Labor’s call center saying he 

received this notice regarding the Pension Protection 

Act of 2006 and wanted to know if he had lost his 

benefits.

Notice to interested parties of 

application for advanced 

determination regarding the 

qualifications of a plan under 

the IRC

This notice provides DC and DB plan 

participants an opportunity to comment 

on whether their plans meet 

requirements in the IRC. It can be 

provided with respect to a plan’s initial 

qualification, amendment, termination, 

or partial termination.

• According to Labor benefits advisors, participants are 

often confused by this notice.

• IRS officials said they sometimes get responses about 

multiemployer plans from labor organizations, rather 

than individual participants.

• Labor officials commented that the complex nature of 

tax qualification requirements make it difficult for the 

average pension plan participant to exercise this right.

Source: Agency documents, Interviews with officials at federal agencies and an association, participant call data, and the 2005 EAC 

Report of the Working Group on Communications to Retirement Plan Participants.

Labor, PBGC, and IRS have created templates (referred to as “model 

notices”) for plan sponsors to follow when writing all or a portion of certain 

disclosures to assist them in complying with the law.80 While plan 

sponsors are not required to use model notices, those testifying before 

the EAC, as well as various groups we spoke with, indicated that model 

notices are widely used and helpful to both plans sponsors and 

 

80In some instances, the statute expressly provides that agencies are to treat sponsors as 

having complied with a particular disclosure requirement if model notices are used. But, 

because a given model cannot apply in all circumstances, the instructions generally direct 

the plan sponsor to provide additional content as appropriate for the plan. For example, 

the instructions for the QACA model notice state that a plan sponsor will need to add to, 

subtract from, or otherwise change the sample notice to the extent a plan’s form and 

operations differ from the hypothetical QACA described in the sample notice, so that the 

actual notice accurately reflects the provisions of the plan.

Some agency model notices fall 

short
 

Page 35 GAO-14-92 Reports and Disclosures

participants.81 Thus, to further evaluate the readability of disclosures to 

participants, we assessed the extent to which ten of these model notices 

adhered to the federal plain language guidelines—a handbook federal 

agencies are encouraged to use when communicating with the public.82

We found that several of the model notices failed to meet criteria we 

developed based on these guidelines, more often than not.83 For 

example:

• Explain technical terms: Several model notices use technical terms 

without explanation, and several require the reader to cross-reference 

other sources of information to understand the main ideas. For 

example, the notice of IRS request for determination invites 

participants to comment on whether their plan meets requirements in 

sections 401 and 403(a) of the IRC without further explanation of 

those citations.

• Specify whether action is needed or advised: Several model 

notices do not make it clear what the participant is supposed to do 

with the information. The model rollover disclosure gives participants 

the general idea that they are to use the seven pages of information to 

help decide whether to roll over their retirement funds. However, it 

does not state clearly and up front that for tax purposes, in most 

circumstances, participants under 591⁄2 should not withdraw their 

retirement funds, and after that age participants should take 

 

81For example, one participant advocacy group testified before the EAC that model 

notices are a great help to employers, but they are also vitally important to participants 

because notices generated by plans are often confusing.

82Plain Language Action and Information Network, Federal Plain Language Guidelines, 

(March 2011), accessed September 6, 2013, 

http://www.plainlanguage.gov/howto/guidelines/bigdoc/fullbigdoc.pdf. Federal plain 

language guidelines are maintained by federal employees. For further details on our plain 

language analysis, see app. I. The Plain Writing Act of 2010 also calls for writing that is 

consistent with best practices appropriate for the intended audience. 5 U.S.C. § 301. Such 

writing avoids jargon, redundancy, ambiguity, and obscurity.

83For further details on our methodology for conducting this analysis, see appendix I. 

None of the agencies provides a comprehensive list of model notices. As a result, we 

continued to discover additional models over the course of our review. We conducted this 

readability analysis on the first 10 of the 16 we identified (see table 3). In addition, we 

identified other instances of agency model language for certain situations. For example, 

we found sample language on Labor’s website to help plan sponsors prepare disclosures 

dealing with qualified domestic relations orders, and a sample paragraph in Labor’s 

regulations (29 C.F.R. § 2520.102-2) for plan sponsors to use when they need to explain 

to non-English speakers how to obtain assistance understanding their SPD.

Excerpt from the Model Rollover Notice:

“If you do not do a direct rollover, you may still 

do a rollover by making a deposit into an IRA 

or eligible employer plan that will accept it. 

You will have 60 days after you receive the 

payment to make the deposit. If you do not do 

a direct rollover, the Plan is required to 

withhold 20% of the payment for federal 

income taxes (up to the amount of cash and 

property received other than employer stock). 

This means that, in order to roll over the entire 

payment in a 60-day rollover, you must use 

other funds to make up for the 20% withheld. 

If you do not roll over the entire amount of the 

payment, the portion not rolled over will be 

taxed and will be subject to the 10% 

additional income tax on early distributions if 

you are under age 591⁄2 (unless an exception 

applies).”

Source: IRS, Notice 2009-68.
 

Page 36 GAO-14-92 Reports and Disclosures

distributions only a little at a time. Participants need to infer that from 

other information the disclosure provides. 

• Offer help for non-English speakers: None of the model notices we 

reviewed contain language about assistance available to non-English 

speakers.84 This includes the model notice for the summary annual 

report, which is required by ERISA to provide assistance to nonEnglish speakers when enough non-English speakers participate in 

the plan.85

Finally, we also tested the model notices we identified with an automated 

grade-level readability test.86 According to the test, the reading level 

required for the models ranged from that of a tenth-grader to that of a 

college senior. Most were written above a high-school reading level (see 

table 3).87 Thus, it seems likely that the information in these disclosures 

would not be readily understandable to many average plan participants 

and that readability might present a challenge for participants, even when 

plan sponsors adopt the model notice developed by the agency.

 

84The models we reviewed were all written in English. While none of them contained 

sample language plan sponsors could use to inform non-English speakers how to obtain 

assistance in their language, we did find that IRS produced a version of the Saver’s Credit 

model notice in Spanish as well as English in IRS Announcement 2001-120.

8529 C.F.R. §§ 2520.102-2(c) and 1520.104b-10(e). Specifically, assistance must be 

offered if the plan contains under 100 participants and 25 percent are literate only in the 

same foreign language, or if the plan covers more than 100 participants and either 500 

participants or 10 percent of participants, whichever is less, are literate in only that same 

foreign language. 

86To determine the reading level at which model notices were written, we selected and 

used one of many widely available automated readability tools, the Flesch-Kincaid GradeLevel (FKGL) test. For more on the FKGL tool, see app. I. However, a participant 

advocacy group representative noted that to gauge understandability, it is important to 

also take the organization and presentation of the content into account. Another 

participant advocacy group representative suggested that to ensure understandability 

model notices should be field-tested with people who have low levels of education.

87In contrast, the Social Security Administration standards require its disclosures to be 

written between a sixth- and eighth-grade reading level. 
 

Page 37 GAO-14-92 Reports and Disclosures

Table 3: Grade-Level Reading Scores for Model Notices 

Disclosure Source of model notice

Grade-level

reading score 

Blackout notice Labor: 29 C.F.R. § 2520.101-3(e)(2) 15.7 

ERISA rights statement Labor: 29 C.F.R. § 2520.102-3(t)(2) 15.5 

Notice to interested parties of IRS determination IRS: Revenue Procedure 2011- 06 14.8 

Notice of pending election of multiemployer status Labor: Model Notice of

Pending Election of

Multiemployer Plan Status, 71 Fed. Reg. 69,595 

(Dec. 1, 2006) 

14.9 

Diversification requirements for qualified defined contribution 

plans holding publicly traded employer securities

IRS: Notice 2006-107 14.8 

Rollover notice IRS: Notice 2009-68 14.4 

Saver’s credit noticea IRS: Announcement 2001-106 14.2 

Critical status notice Labor: Model Notice of 

Multiemployer Plan in Critical

Status, 73 Fed. Reg. 15,692 (Mar. 25, 2008)

14.0 

Annual funding noticeb Labor: Field Assistance Bulletin 2009-01 b 13.4 

Notice of application to waive the minimum funding standard IRS: Bulletin 2004-7 Appendix A 15.1 

Summary annual report Labor: 29 C.F.R. § 2520.104b-10(d)(3) 12.3 

Notice of intent to terminate (distress termination) PBGC: Appendix B to PBGC distress termination 

instructions 

11.1

Notice of termination of individual account plan Labor: 29 C.F.R. § 2550.404a-3 Appendix 11.2 

Notice related to qualified automatic contribution 

arrangements, eligible automatic contribution arrangements, 

and qualified default investment alternatives.

IRS: Website (http://www.irs.gov/pub/irstege/sample_notice.pdf) 10.9

Notice of intent to terminate (standard termination) PBGC: Appendix B to PBGC standard termination 

instructions

10.4 

Model comparative chart on investment options Labor: 29 C.F.R. § 2550. 404a-5 Appendix 9.7 

Sources: Agency regulations and guidance, as cited above, and GAO analysis using the Flesch-Kincaid Grade-Level (FKGL) tool. (For 

more information on this tool and our analysis, see app. I.)

a

IRS Announcement 2001-106 encourages employers to tell their employees about this available tax credit, and offers the model notice as an option to accomplish that. The notice is not required to be 

provided by law.

b

Labor has proposed a new model for this disclosure (75 Fed. Reg. 70,625, Nov. 18, 2010). Although the regulations with this new model have not yet been finalized, Labor officials noted that plan sponsors could use this model, if they wish.The FKGL score for this revised notice is slightly lower: 

12.8.

An additional challenge to participant disclosure understandability is that 

Labor, IRS, and PBGC do not vigorously enforce the readability 

standards in ERISA or the IRC. We identified 11 disclosures that are 

required by ERISA or the IRC to be understandable by an average plan 

participant (see app. III). However, agency officials said their agencies 

Readability provisions are not 

vigorously enforced 
 

Page 38 GAO-14-92 Reports and Disclosures

had not issued any guidance, other than the model notices, on how to 

comply with these standards.

One of the recommendations of the EAC in 2005 was to enhance or

create mechanisms to enforce the regulatory requirement that the SPD 

be understandable by the average plan participant. For that disclosure, if 

Labor investigates a plan, officials said that investigators will consider 

whether the plan’s SPD is in compliance with ERISA readability 

standards. Similarly, IRS officials said that if a plan is audited and the 

examiner reads a notice and cannot tell what it says, that might be noted 

in the audit. In addition, according to Labor officials, disclosure readability 

is in part addressed through public comments on proposed regulations. 

Labor officials said that sometimes readability can be improved with 

information collected through the focus groups that Labor increasingly 

conducts during the rulemaking process.88 IRS officials said they also try 

to make model notices readable, and that model notices are very closely 

vetted on a word-by-word basis. At the same time, they noted that the 

complexity of the content that disclosures are often required by statute to 

contain can make them difficult to read, even when the IRC requires that 

they be understandable by the average plan participant. PBGC officials 

said that they are working with Labor to make some content in the model 

annual funding notice more understandable, but that the statutory 

requirements for the content in the notice place limitations, in effect, on its 

readability.

Nevertheless, all three ERISA agencies acknowledged that enforcing the 

specific readability standards in the statutes is not a priority, and none 

had a mechanism to determine whether disclosures are understandable 

to an average participant.

The increasingly complex world of private sector pension plans, coupled 

with the important role these plans play in the retirement security of 

millions of Americans, has made access to clear information about plan 

details more important than ever. Agencies use information from plan 

 

88Labor officials also consider their benefits advisors program, in which benefits advisors 

are available to field phone calls from participants, as addressing readability. We 

considered disclosure readability based solely on the written content of disclosures sent to 

participants. Participants who call Labor and ask a benefits advisor to explain disclosure 

content may gain a better understanding of the content than participants who do not call.

Conclusions 
 

Page 39 GAO-14-92 Reports and Disclosures

sponsors for oversight purposes, while participants need access to plan 

information to manage their retirement accounts and make key retirement 

decisions. Therefore, enhancing plan sponsor compliance and the 

efficiency and effectiveness of reports and disclosures is of the utmost 

importance.

Retirees with vested benefits in a former employer’s plan could receive 

more accurate and up-to-date information if responsibility for collecting 

and managing information on participants’ deferred vested benefits was 

more centralized. The current system splits the responsibility for collecting 

this information (assigned to IRS) from the responsibility for retaining that 

information (assigned to SSA), but leaves Labor responsible for helping 

plan participants understand and follow up on notices with this 

information. With no agency fully responsible for the data throughout this 

process, individuals with vested benefits in former employers’ plans may 

continue to receive outdated information. As the agency with primary 

responsibility for administering and enforcing pension plan reporting 

requirements under ERISA, Labor may be best situated to take on this 

responsibility, perhaps in partnership with PBGC, given that agency’s 

expanded role in maintaining a database of plans’ missing participants.

The increased complexity of retirement plans and the vast financial 

resources they contain necessitates a complex system of reporting and 

disclosures to ensure oversight and transparency. Plan sponsors do not 

need to understand the details of reporting and disclosure requirements 

for which they are not responsible, but they must have sufficient 

information to determine which requirements apply to them. Currently, 

there is no single comprehensive and regularly updated resource to help 

sponsors comply with reporting and disclosure requirements. Providing 

sponsors with a well-organized and complete guide would promote 

compliance and help ensure that agencies and participants receive the 

required information when needed.

For participants, understanding their rights and benefits, as provided in 

the SPD for their plan, is crucial to safeguarding and managing their 

retirement security. Currently, plan sponsors are required to provide 

participants with the SPD once every 5 years if the plan has changed, or 

10 years if the plan has not changed. In the intervening time, participants 

may have difficulty finding the information, as updates may be provided 

intermittently through summaries of material modifications. Many plan 

sponsors already provide plan information to participants securely 

through dedicated intranet sites. Requiring plan sponsors to include the 
 

Page 40 GAO-14-92 Reports and Disclosures

SPD and any summaries of material modifications on such a site would 

provide participants continuous access to plan details.

Finally, participants must understand disclosures to use the information to 

protect their rights and benefits. The complex nature of retirement plans 

and the detailed information that plan sponsors are required to disclose 

may make ERISA’s readability requirements challenging for plan 

sponsors to meet and for agencies to enforce. Thus, although Congress 

included many provisions in ERISA and in the IRC requiring that 

disclosures be written so that the average plan participant can understand 

them, Labor, IRS, and PBGC officials acknowledged that enforcement of 

these provisions has not been a priority. Setting clear criteria for statutory 

readability standards, enforcing them, and revising model notices as 

appropriate may help ensure that, in the future, disclosures are clearer 

and easier to read for participants who are trying to manage their 

accounts to better secure their retirement. Furthermore, such measures 

may also reduce the costs associated with Labor’s benefits advisors 

responding to participant questions.

To increase the accuracy of “potential private pension benefit information” 

notices that SSA sends to Social Security claimants, Congress should 

consider legislation shifting responsibility and necessary resources to 

Labor for (a) electronically collecting form 8955-SSA information on 

participants’ deferred vested benefits, (b) maintaining an accurate federal 

database of those benefits, and (c) periodically sending SSA accurate 

information about such benefits for recent Social Security claimants 

identified by SSA, so that SSA may provide notices to retirees.

To ease the burden on plan sponsors, enhance compliance, and help 

ensure that disclosures to participants are written in a manner that can be 

understood by the average participant, Labor, IRS, and PBGC should 

work together to:

1) Create and regularly update a comprehensive online tool for plan 

sponsors to search for the reports and disclosures they are required 

to provide based on plan type, design, and circumstances.

2) Define criteria for complying with the readability provisions in ERISA 

and the IRC, and apply the criteria to agency-generated model notices 

as well as those developed by plan sponsors. As part of these criteria, 

Matter for 

Congressional 

Consideration 

Recommendations for 

Executive Action
 

Page 41 GAO-14-92 Reports and Disclosures

consider requiring clear, simple, brief highlights at the beginning of 

disclosures, reflecting federal plain language guidelines.

To better ensure plan participants have access to information about their 

rights and benefits, as currently in force under their plans, Labor should:

3) Direct plan sponsors to post to any intranet website maintained by the 

employer, as soon as determined feasible by Labor, a copy of the 

most current summary plan description (SPD) and any summary of 

material modifications issued subsequent to that SPD.

We provided a draft of this report to the Department of Labor, Department 

of the Treasury and Internal Revenue Service, Pension Benefit Guaranty 

Corporation, and Social Security Administration for review. All the 

agencies generally agreed with our report. (See their written comments, 

which are reproduced in app. IV through VII. Treasury and IRS provided 

their comments jointly.)

Labor and Treasury/IRS provided similar comments regarding our first 

recommendation, agreeing to work together with PBGC to explore the 

necessity and viability of providing a comprehensive online tool that would

enable plan sponsors to search for required reports and disclosures 

based on plan type, design, and circumstances. In technical comments, 

Labor noted that the agency expects to publish an updated version of its 

reporting and disclosure guide for employee benefit plans soon. We 

appreciate Labor’s and Treasury/IRS’ efforts and believe that a welldesigned and searchable tool would be invaluable to the broad sponsor 

community. 

Labor and Treasury/IRS also provided similar comments regarding our 

second recommendation, to define criteria for complying with the 

readability provisions of ERISA and the IRC. They agreed that the subject 

matter of disclosures can be complicated, noting that they have increased 

the use of model notices to provide plan sponsors and participants with 

clear and understandable formats for complying with applicable 

requirements. However, Labor also noted that plan sponsors have 

expressed concern regarding liabilities that may result from ambiguities 

that arise when complex information is summarized or presented using 

plain language criteria. We agree. It is for this reason our 

recommendation calls for clear, simple, brief highlights to be added to—

not replace—full disclosures. Such highlights could help plan sponsors 

comply with the provisions in ERISA and IRC that require certain 

Agency Comments 

and Our Evaluation
 

Page 42 GAO-14-92 Reports and Disclosures

disclosures to be understandable to the average plan participant, while 

not compromising the complex information that the disclosures must 

contain. Treasury/IRS also expressed interest in directing plan sponsors 

to use certain plain language guidelines to make disclosures more 

understandable.

Regarding our third recommendation, to direct plan sponsors who have 

intranet sites for their plans to post the most current summary plan 

description and any subsequent summaries of material modifications to 

these sites Labor noted that, in 2011, it published a request for 

information to explore whether and how to modify disclosure standards, 

taking into account current technology. Labor pointed out that ERISA was 

previously amended to include actuarial information and agreed to 

consider the benefit of such an intranet posting with respect to the 

summary plan description and material modifications. However, Labor 

also noted that it is unclear whether the agency has the statutory authority 

to require such online posting. We would encourage Labor to fully 

consider what actions it could take within the scope of its existing 

authority.

Treasury/IRS also provided comments on the matter for congressional 

consideration, which asks Congress to consider legislation shifting 

responsibility and resources to Labor for collecting, maintaining, and 

periodically sending SSA the information reported on the 8955-SSA. 

Treasury/IRS noted that the agency is considering regulatory changes to 

help address the problem of participants receiving notices from SSA 

describing vested benefits that have already been paid. To improve the 

accuracy of data, the agency has issued proposed regulations that would 

require the 8955-SSA to be filed electronically, to the extent allowable 

under the current law, and the agency is working on a project, listed in its 

2013-2014 priority guidance plan, that would allow the 8955-SSA to 

satisfy the requirement that sponsors provide an annual participant 

disclosure of separated participants with deferred vested benefits. While 

we applaud these efforts to improve the accuracy of 8955-SSA data, we 

remain concerned that such efforts only address part of the problem. The 

data from the 8955-SSA must also be maintained and updated over time 

to produce accurate notices once individuals are ready to retire. We 

continue to believe that it would be preferable to more fully centralize 

responsibility for collecting and maintaining these data and that Labor, 

perhaps in partnership with PBGC, may be best situated to assume 

responsibility for these tasks. 
 

Page 43 GAO-14-92 Reports and Disclosures

PBGC commented more generally that pension law is highly prescriptive 

and ERISA agencies could implement the results of their cooperative 

efforts more effectively if they were given more discretion under the law.

Each agency also provided technical comments, which we incorporated 

as appropriate.

As arranged with your office, unless you publicly announce its contents 

earlier, we plan no further distribution of this report until 30 days from the 

date of this letter. At that time, we will send copies to the Secretary of 

Labor, Secretary of the Treasury, and Director of the Pension Benefit 

Guaranty Corporation. In addition, the report will be available at no 

charge on the GAO website at http://www.gao.gov.

If you or your staff members have any questions about this report, please 

contact me at (202) 512-7215 or jeszeckc@gao.gov. Contact points for 

our Offices of Congressional Relations and Public Affairs may be found 

on the last page of this report. GAO staff who made key contributions to 

this report are listed in appendix VIII.

Charles A. Jeszeck, Director

Education, Workforce,

 and Income Security Issues
 

Page 44 GAO-14-92 Reports and Disclosures

List of Requesters

The Honorable Tom Harkin

Chairman

Committee on Health, Education, Labor, and Pensions

United States Senate

The Honorable Elizabeth Warren

United States Senate

The Honorable George Miller

Ranking Member

Committee on Education and the Workforce

House of Representatives

The Honorable Richard E. Neal

Ranking Member

Subcommittee on Select Revenue Measures

Committee on Ways and Means

House of Representatives
Appendix I: Methodology for Analyzing the 

Readability of Participant Disclosures

Page 45 GAO-14-92 Reports and Disclosures

To analyze the readability of participant disclosures, we evaluated the 

language in model disclosures developed by the Department of Labor 

(Labor) and the Internal Revenue Service (IRS) with both an automated 

readability tool and criteria based on federal plain language guidelines for 

communicating with the public. Although we found no comprehensive list 

of existing model notices, we identified 16 such notices through our 

review of laws and regulations.1

To estimate the reading level at which model disclosures were written, we 

evaluated the language in the 16 model disclosures we identified using 

the Flesch-Kincaid Grade-Level (FKGL) automated readability tool. The 

FKGL tool was developed by the Navy based on the Flesch Reading 

Ease test, which is one of the most widely-used, tested, and reliable 

formulas for calculating readability. The FKGL tool was developed 

primarily for adults and has been tested extensively on adult materials. It 

uses core measures of word length and sentence length to estimate the 

grade level at which the content is written. The version we used was 

included in the word processing software Microsoft Word. We deleted 

parenthetical instructions to plan sponsors from the models before we ran 

the analysis to focus on the readability of content intended for 

participants.

To evaluate model disclosure readability more generally, we developed 

22 criteria based on federal plain language guidelines for communicating 

with the public.2 The federal plain language guidelines is a handbook that 

federal agencies are encouraged to use when communicating with the 

public. We distilled the guidelines into 22 criteria on factors such as the 

organization and presentation of the content. Two GAO analysts 

independently coded 10 model notices on the 22 criteria and assessed 

whether the disclosures would be understandable to an average plan 

 

1

In some instances, the model disclosure provided a template for only a portion of the 

content a participant would receive. For example, Labor provides a model statement of 

participant rights under The Employee Retirement Income Security Act of 1974 (ERISA) to 

be included in the summary plan description (SPD), and a model comparative chart to be 

included in participant fee disclosures, but the disclosures are required to include 

additional information beyond the text in the models.

2

Federal plain language guidelines are maintained by federal employees and are available 

at www.plainlanguage.gov. Plain Language Action and Information Network, Federal Plain 

Language Guidelines, (March 2011), accessed September 6, 2013,

Appendix I: Methodology for Analyzing the 

Readability of Participant Disclosures
Appendix I: Methodology for Analyzing the 

Readability of Participant Disclosures

Page 46 GAO-14-92 Reports and Disclosures

participant.3 When coding differences occurred, a third GAO analyst 

independently reviewed those cases and discussed with the team to 

reach agreement.

 

3

This part of our readability analysis included the first 10 model disclosures we identified 

over the course of our review.
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 47 GAO-14-92 Reports and Disclosures

To determine what reports and disclosures private sector pension plan 

sponsors are required to make to federal agencies and plan participants, 

respectively,1 we compiled previously-available lists and other information 

about reports and disclosures from agency websites and lists from three 

service provider websites. The assembled information included details 

about who must submit information, to whom it must be provided, 

citations to federal laws, regulations, and guidance, available forms and 

model notices, and events and circumstances that trigger reports and 

disclosures. We then worked with officials at the agencies—Labor, IRS, 

and PBGC—to revise and update the list and add details about reports 

and disclosures through multiple steps. We then reviewed relevant 

federal statutes and regulations to verify selected information. These lists 

have been summarized below into four tables: routine reports; nonroutine 

reports, routine disclosures, and nonroutine disclosures.

Table 5: Plan Sponsors’ Routine Reports to Agencies 

Name of routine report 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, regulations, 

and agency guidance Form

Annual return/report Form 

5500a Labor, PBGC,  and IRS

Defined benefit (DB) 

and defined 

contribution (DC) 

plans 

• 26 U.S.C. §§ 6047(e), 

6057(b) and 6058(a).

• 29 U.S.C. §§ 1024 and1365.

• 29 C.F.R. § 2520.103-1.

Form 5500 submitted 

electronically using EFAST2 

system. Extension obtained 

by filing form 5558 with IRS 

or by automatic extension 

by extending corporate tax 

return with IRS.

 

1

Throughout the report, disclosures to participants include those to beneficiaries and 

alternate payees. We also identified a small number of disclosures made by multiemployer 

plan sponsors to employers. 

Appendix II: Required Pension Plan Reports 

and Disclosures
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 48 GAO-14-92 Reports and Disclosures

Name of routine report 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, regulations, 

and agency guidance Form

Annual return/report 5500-

SF (short form)

Labor, PBGC, 

and IRS

DB and DC small 

plans covering fewer 

than 100 participants 

that are 100% 

invested in “secure” 

and “easy to value” 

assets. Certain “oneparticipant plans” are 

permitted to file 

electronically the 

Form 5500-SF in lieu 

of filing the Form 

5500-EZ on paper 

with the IRS 

• 26 U.S.C. §§ 6057(b) and 

6058(a).

• 29 U.S.C. §§ 1024 and 

1365.

5500-SF submitted 

electronically using EFAST2 

system. Extension obtained 

by filing form 5558 with IRS 

or by automatic extension 

by extending corporate tax 

return with IRS

Annual return/report form 

5500-EZ 

IRS DB and DC plans 

(small one-participant 

pension benefit plans. 

It may also be used 

by certain partnership 

plans and certain 

foreign plans)

• 26 U.S.C. § 6058(a). Form 5500-EZ must be filed 

by paper and mail to IRS. 

However, one-participant 

plans may satisfy their filing 

obligations under Code by 

filing Form 5500-SF 

electronically under 

EFAST2 system, if certain 

conditions are met

Annual return/report 

(5500) attachments (e.g. 

financial statements, and 

accountant’s opinions)

Labor, PBGC, 

and IRS

DB and DC plans as 

required in form 5500 

• 29 U.S.C. § 1023(a)(3). No form (attachments to 

Form 5500)

Annual return/report 

(5500) schedule A—

insurance information

Labor, PBGC, 

and IRS

DB and DC large 

plans (100 or more 

participants) with 

benefits provided by 

an insurance 

company

• 29 U.S.C. §§ 1023(a)(2) and 

1024.

Form 5500 schedule A 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS

Annual return/report 

(5500) schedule C—

service provider 

information

Labor, PBGC, 

and IRS

DB and DC plans with 

service providers who 

rendered services to 

the plan or direct filing 

entity (DFE) during 

the plan or DFE year, 

received $5,000 or 

more in 

compensation from 

the plan

• 29 U.S.C. § 1024. Form 5500 schedule C 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 49 GAO-14-92 Reports and Disclosures

Name of routine report 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, regulations, 

and agency guidance Form

Annual return/report 

(5500) schedule D—

DFE/participating plan 

information 

Labor, PBGC, 

and IRS

DB and DC plans or 

direct filing entities 

(DFE) that invested or 

participated in certain 

financial instruments 

• 29 U.S.C. § 1024. Form 5500 Schedule D-DFE 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS 

Annual return/report 

(5500) schedule G—

financial transaction 

schedules

Labor, PBGC, 

and IRS

DB and DC large 

plans (100 or more 

participants) with 

loans or fixed income 

obligations in default 

or classified as 

uncollectible

• 26 U.S.C. § 6058(a).

• 29 U.S.C. § 1024.

Form 5500 Schedule G 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS 

Annual return/report 

(5500) schedule H—large 

plan financial information

Labor, PBGC, 

and IRS

DB and DC large 

plans (100 or more 

participants) 

• 26 U.S.C. § 6058(a).

• 29 U.S.C. § 1024.

Form 5500 Schedule H 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax

return with IRS 

Annual return/report 

(5500) schedule I—small 

plan financial information

Labor, PBGC, 

and IRS

DB and DC small 

plans (fewer than 100 

participants and filing 

the Form 5500 annual 

return/report, rather 

than the Form 5500-

SF) 

• 26 U.S.C. § 6058(a).

• 29 U.S.C. § 1024.

Form 5500 Schedule I 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS 

Annual return/report 

(5500) schedule MB 

Labor, PBGC, 

and IRS

DB and DC 

multiemployer plans 

(DC plans limited to 

certain money 

purchase plans) 

• 26 U.S.C. § 6059.

• 29 U.S.C. § 1024.

Form 5500 Schedule MB 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS 
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 50 GAO-14-92 Reports and Disclosures

Name of routine report 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, regulations, 

and agency guidance Form

Annual return/report 

(5500) schedule R—

retirement plan information

Labor, PBGC, 

and IRS

DB and DC large 

plans (100 or more 

participants) that 

have distributed 

benefits during the 

plan year

• 26 U.S.C. § 6058(a).

• 29 U.S.C. § 1024.

Form 5500 schedule R 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS

Annual return/report 

(5500) schedule SB—plan 

actuarial information

Labor, PBGC, 

and IRS

DB single-employer 

plans 

• 26 U.S.C. § 6059.

• 29 U.S.C. § 1024.

Form 5500 schedule SB 

submitted electronically 

using EFAST2 system. 

Extension obtained by filing 

form 5558 with IRS or by 

automatic extension by 

extending corporate tax 

return with IRS 

Annual zone status 

certification

IRS (must also 

be provided to 

plan sponsor)

DB multiemployer 

plans 

• 26 U.S.C. § 432(b)(3).

• 29 U.S.C. § 1085(b)(3).

No form

Premium filings: 

comprehensive premium 

filing

PBGC DB plans

(large plans with 500 

or more participants 

provide the 

reconciliation of the 

estimated flat rate 

premium paid earlier 

in the year with the 

actual flat rate 

premium, plans with 

fewer than 500 

participants provide 

the flat rate premium, 

and underfunded 

single-employer plans 

provide the variable 

rate premium)

• 29 U.S.C. §§ 1306 and 

1307.

• 29 C.F.R. § 4007.3.

Electronic web-based filing 

using My Plan 

Administration Account (My 

PAA) 

Premium filings: estimated 

flat-rate premium filing

PBGC DB large plans (500 

or more participants) 

• 29 U.S.C. §§ 1306 and 

1307.

• 29 C.F.R. § 4007.3.

Electronic web-based filing 

using My Plan 

Administration Account (My 

PAA) 

Source: GAO analysis of information provided by Labor, IRS, and PBGC.

a

For this table, schedules of the 5500 are counted as separate reports.
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 51 GAO-14-92 Reports and Disclosures

Table 6: Plan Sponsors’ Routine Disclosures to Participants, Beneficiaries, and Alternate Payees 

Name of routine disclosure 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and/or 

guidance

Special instructions 

about recipients and/or 

timing of disclosure 

Plans required to 

provide disclosure

Applicable laws, 

regulations, and agency 

guidance

Annual funding notice Labor In addition to participants, 

also to be sent to labor 

organizations representing 

participants under the plan, 

each contributing employer 

in the case of a 

multiemployer plan, and 

PBGC 

Defined benefit (DB) 

plans 

• 29 U.S.C. § 1021(f).

• DOL FAB 2009-01 

(non-enforcement 

policy pending further 

guidance).

• Annual Funding Notice 

for Defined Benefit 

Plans, 75 Fed. Reg. 

70.625 (Nov. 18, 2010) 

(proposed rule) (FAB 

guidance still in effect 

until adoption of a final 

rule). 

• DOL FAB 2013-01 

(non-enforcement 

policy on additional 

single-employer plan 

disclosures required by 

MAP-21).

• Pub. L. No. 112-141, § 

40211(b)(2),126 Stat. 

405, 848-49 (2012).

Effective opportunity to make 

or change elective deferrals

IRS Defined contribution 

(DC) plans

• 26 U.S.C. §§ 401(k) 

(11)(B)(iii)(II) and 

403(b).

• 26 C.F.R. §§ 1.401(k)-

1(e)(2)(ii) and 1.403(b)-

5(b)(2). 

Eligible automatic contribution 

arrangement notice (EACA)

IRS DC plans that have 

eligible automatic 

contribution 

arrangements 

• 26 U.S.C. § 414(w)(4).
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 52 GAO-14-92 Reports and Disclosures

Name of routine disclosure 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and/or 

guidance

Special instructions 

about recipients and/or 

timing of disclosure 

Plans required to 

provide disclosure

Applicable laws, 

regulations, and agency 

guidance

Participant fee disclosures 

(404(a)) 

Labor To be sent annually for 

plan-related and 

investment-related; 

quarterly for administrative 

and individual expenses 

actually charged to 

participants’ accounts; on 

or before the first date a 

new participant can first 

direct his or her 

investments

DC plans 

administrators of 

participant-directed 

individual account 

plans

• 29 C.F.R. § 2550.404a5 plan-related 

information may be 

included in a timely 

furnished summary 

plan description under 

29 U.S.C. § 1022.

• Administrative and 

individual expenses 

actually charged to 

participants’ accounts 

may be included in 

quarterly benefit 

statements under 29 

U.S.C. § 1025.

Multiemployer pension plan 

summary plan information

Labor Rather than to participants, 

to be sent to contributing 

employers and employee 

organizations

DB multiemployer 

plans (plan 

administrator) 

• 29 U.S.C. § 1024(d).

Notice for fiduciary relief for 

investments in qualified 

default investment alternatives 

(QDIA) 

Labor Initial notice to be provided 

upon eligibility to 

participate in the plan, then 

annually thereafter

DC plans and 

participant directed 

DC plans that invest 

contributions on 

behalf of participants 

who fail to give 

investment direction 

• 29 U.S.C. § 1104(c)(5).

• 29 C.F.R. § 2550.404c5.

• (DOL) FAB 2008-3.

Notice of availability of 

investment advice 

Labor DC plans providing 

investment advice by 

asset managers who 

otherwise receive 

revenue from the 

investment of the 

plan’s assets—e.g. a 

fiduciary advisor 

• 29 U.S.C. § 1108(g)(6).

Notification to substantial 

employers 

PBGC Rather than to participants, 

to be sent to substantial 

employers 

DB single employer 

plans (plan 

administrator of plans 

with at least 2 

contributing sponsors 

not under common 

control)

• 29 U.S.C. § 1366.
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 53 GAO-14-92 Reports and Disclosures

Name of routine disclosure 

(to be provided annually 

unless noted otherwise) 

Agency 

providing 

oversight and/or 

guidance

Special instructions 

about recipients and/or 

timing of disclosure 

Plans required to 

provide disclosure

Applicable laws, 

regulations, and agency 

guidance

Periodic pension benefit 

statement 

Labor Individual account plans 

that permit participants and 

beneficiaries to direct the 

investment of assets in 

their account must provide 

a pension benefit 

statement at least once 

each calendar quarter; 

plans that do not provide 

participants or beneficiaries 

a right to direct their 

investments must provide it 

at least once each calendar 

year; and DB plans must 

provide it at least once 

every 3 years 

DB and DC plans • 29 U.S.C. § 1025.

• DOL FAB 2006-3 and 

2007-3.

Qualified automatic 

contribution arrangements 

(QACA) notice 

IRS DC plans with QACA 

safe harbor 

• 26 U.S.C. § 

401(k)(12)(D) and 

(13)(E). 

• 26 C.F.R. § 1.401(k)-

3(j). 

Summary annual report (SAR)

(contains information from 

applicable Form 5500)

Labor In addition to participants, 

also to be sent to Labor on 

request

DC and some DB 

plans (DB plans that 

are not required to 

furnish an ERISA § 

101(f) (29 U.S.C. § 

1021(f)) annual 

funding notice)

• 29 U.S.C. § 1024(b)(3).

• 29 C.F.R. §§ 

2520.104b-10, 

2520.104-46(b) and 

2520.104b-1.

Summary plan description 

(SPD) 

Labor In addition to participants, 

also to be sent to Labor on 

request. To be sent every 5 

years, if SPD was updated; 

every 10 years, otherwise

DB and DC plans 

except top hat plans 

and SEPs that meet 

the conditions for an 

alternative method of 

compliance in 29 

C.F.R. §§ 2520.104-

23, 2520.104-48 or 

2520.104-49. 

SIMPLEs must 

comply with disclosure 

requirements in 29 

U.S.C. § 1021

• 29 U.S.C. §§ 1022 and 

1024(a)(6), (b)(1), 

(b)(2), (b)(4) and (c).

• 29 C.F.R. §§ 2520.102-

2, 2520.102-3, 

2520.104b-1, 

2520.104b-2 and 

2520.104b-3.

Source: GAO analysis of information provided by Labor, IRS, and PBGC.
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 54 GAO-14-92 Reports and Disclosures

Table 7: Plan Sponsors’ Nonroutine Reports to Agencies

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Advance notice of 

reportable events: 

Application for 

minimum funding 

waiver

PBGC Defined benefit (DB) 

single-employer plans 

except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.66.

Form 10-Advance Application for 

minimum funding 

waiver

Advance notice of 

reportable events: 

bankruptcy or 

insolvency 

PBGC DB single-employer 

plans except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.68.

Form 10-Advance Bankruptcy or 

insolvency

Advance notice of 

reportable events: 

change in contributing 

sponsor or controlled 

group

PBGC DB single-employer 

plans except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.62.

Form 10-Advance Change in plan 

sponsor or 

controlled group 

Advance notice of 

reportable events: 

extraordinary dividend 

or stock redemption

PBGC DB single-employer 

plans except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.64.

Form 10-Advance Extraordinary 

dividend or stock 

redemption
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 55 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Advance notice of 

reportable events: 

liquidation

PBGC DB single-employer 

plans, except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.63.

Form 10-Advance Distress

Advance notice of 

reportable events: loan 

default

PBGC DB single-employer 

plans except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.67.

Form 10-Advance Distress, 

employer and 

plan sponsor

Advance notice of 

reportable events: 

transfer of benefit 

liabilities

PBGC DB single-employer 

plans except public 

companies or plans 

with < $50 million of 

unfunded vested 

benefits (UBVs) that 

are ≥ 90% funded on a 

vested benefit basis. 

Waivers may apply to 

other plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.61 and 

4043.65.

Form 10-Advance Change in plan 

sponsor 

Annual disclosure of 

financial and actuarial 

information (4010)

PBGC DB single-employer 

plans with one of the 

following conditions

during an information 

year: funding target 

attainment percentage 

(FTAP) <80% for any 

plan in controlled group 

OR missed required 

contributions exceed 

$1M (statutory lien), 

OR funding waivers still 

outstanding, waived 

amount over $1M

• 29 U.S.C. § 

1310.

• 29 C.F.R. pt. 

4010.

E-4010 (must be filed 

electronically using 

PBGC web-based 

software at 

www.pbgc.gov/e4010) 

Underfunding
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 56 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Annual registration 

statement identifying 

separated participants 

with deferred vested 

benefits (8955-SSA) 

IRS (IRS 

forwards 

information to 

SSA) 

DB and defined 

contribution (DC) plans

• 26 U.S.C. § 

6057(a).

• IRS 

Announcement 

2011-21.

IRS form 8955-SSA Participants who 

are terminated 

and not paid out 

Application for a waiver 

of the minimum funding 

standard (private letter 

ruling)

IRS (must also 

be provided to 

plan 

participants, 

beneficiaries, 

alternate 

payees, or 

employee 

organizations)

DB plans and DC 

money purchase plans

• 26 C.F.R. § 

412(c).

• Rev. Proc. 2004-

15 and other 

revenue 

procedures 

updated annually.

No form Underfunding

Application for approval 

of master or prototype 

(M&P) or volume 

submitter defined 

benefit plan (VSP)

IRS DB plans • 26 U.S.C. §§ 

401(a), 414(j) 

and 501(a)

• Rev Proc. 2011-

49

Form 4461 A Application for 

approval for M&P 

or VSP DB Plans

Application for approval 

of master, prototype, or 

volume submitter 

defined contribution 

plan 

IRS DC plans • 26 U.S.C. §§ 

401(a) and 

501(a).

• Revenue 

procedures 

updated annually.

Form 4461 B Application for 

approval for M&P 

or VSP DB Plans

Application for 

determination for 

adopters of master, 

prototype, or volume 

submitter plans

IRS DB and DC plans that 

include a minor 

modification to the preapproved volume 

submitter plan 

language.

• 26 U.S.C. §§ 

401(a) and 

501(a).

• Rev Proc 2007-

44.

• Other revenue 

procedures 

updated annually.

5307 Tax exempt 

status

Application for 

determination for 

employee benefit plan

IRS DB and DC individually 

designed plans and 

any related trusts

• 26 U.S.C. §§ 

401(a) and 

501(a).

• Annual Rev. 

Proc. 20XX-6; 

2005-66 and Rev 

Proc 2007-44.

• Other revenue 

procedures 

updated annually.

5300 Tax exempt 

status 

(Determination 

letter application 

for an individually 

designed plan)
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 57 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Application for 

determination for 

terminating plans 

IRS DB and DC plans, 

other than multiemployer plans 

covered by PBGC 

insurance

• 26 U.S.C. § 

411(d)(3). 

• Revenue 

procedures 

updated annually.

Forms 5310, 6088, 

and 8717

Termination

Application for 

determination of 

employee stock 

ownership plan (ESOP)

IRS DC ESOP plans • 26 U.S.C. §§ 

401(a) and 

501(a).

• Revenue 

procedures 

updated annually.

Form 5309 - 

attachment to Form 

5300

Tax exempt 

status for ESOP 

plan

Application for 

extension of time to file 

certain employee plan 

returns 

IRS DB and DC plans • 26 U.S.C. § 

6081(a). 

• 29 C.F.R. § 

1.6081-1(a). 

Form 5558 Extension for 

5500, 8955-SSA, 

or 5330

Application for group 

trust or pooled trust 

ruling 

IRS DB and DC (Group or 

pooled trust sponsors 

only)

• 26 U.S.C. §§ 

401(a) and 

501(a).

• Rev. Rulings 81-

1000, 2004-67, 

and 2011-1.

• Other revenue 

procedures 

updated annually.

Form 5316 Tax exempt 

status

Certification of intent to 

adopt pre-approved 

plan

IRS DB and DC plans • 26 U.S.C. §§ 

401(a) and 

501(a).

• Rev. Proc. 2005-

66 and 2007-44.

• Other revenue 

procedures 

updated annually.

Form 8905: 

Certification of Intent 

to Adopt Preapproved Plan. 

Attachment to Forms 

5300, 5307, or 5310

Tax exempt 

status (adoption 

of pre-approved 

plan)

Change in funding 

method. Private Letter 

Ruling

IRS DB plans • 26 U.S.C. § 

412(d)(1). 

• Rev. Proc. 2000-

40 and 2000-41.

• Other revenue 

procedures 

updated annually.

No form Change in 

funding
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 58 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Distributable benefits 

from employee pension 

benefit plans 

IRS DB and DC plans • 26 U.S.C. §§ 

401(a) and 

411(d)(3). 

• Revenue 

procedures 

updated annually.

Form 6088 - 

attachment to Form 

5310 or Form 5300 if 

collectively bargained 

termination

Termination with 

underfunding

Excise taxes related to 

employee benefit plans

IRS DB and DC plans • 26 U.S.C. §§ 

4971, 4972, 

4975, 4978 and 

4979A.

Form 5330 Violation of IRC 

provisions on 

employee benefit 

plans 

Fiduciary class 

exemption notice 

Labor DB and DC plans 

(subject to specified 

exceptions) 

• 29 C.F.R. § 

2550.408b2(c)(1)(ix). 

Sample available Service provider 

fails to provide 

plan 

administrator 

plan level fee 

disclosure as 

required by 

ERISA 408(b)(2) 

and 29 C.F.R. 

2550.408b-2 

Notice of benefit 

suspension for 

terminated and 

insolvent plans

PBGC (must 

also be provided 

to participants 

and 

beneficiaries)

DB multiemployer 

plans

• 29 U.S.C. § 

1441(d)(3).

• 29 C.F.R. § 

4281.32.

No form Insolvency of 

terminated plans

Notice of insolvency 

and annual update: 

terminated plan

PBGC (must 

also be provided 

to participants 

and 

beneficiaries)

DB multiemployer 

plans

• 29 C.F.R. §§ 

4281.43 and 

4281.44.

No form Insolvency of 

terminated plans

Notice of insolvency 

benefit level for 

terminated plans

PBGC (must 

also be provided 

to participants 

and 

beneficiaries 

expected to be 

in pay status 

during each 

insolvency plan 

year)

DB multiemployer 

plans

• 29 C.F.R. §§ 

4281.45 and 

4281.46.

No form Insolvency of 

terminated plans
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 59 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Notice of insolvency: 

reorganization 

PBGC (must 

also be provided 

to IRS, 

employers, 

employee 

organizations, 

participants, and 

beneficiaries

DB multiemployer 

plans

• 29 U.S.C. § 

1426(e)(I).

• 29 C.F.R. § 

4245.3. 

No form Insolvency of 

plan in 

reorganization 

(without 

termination)

Notice of mass 

withdrawal to PBGC 

and certifications

PBGC DB multiemployer 

plans

• 29 C.F.R. §§ 

4041A.11, 

4219.11(b)(5), 

4219.17(c) and 

(g), and 

4219.18(g).

No form Change in 

employer 

(withdrawal of all 

or substantially 

all employers) 

(Not necessary if 

notice of 

termination was 

sent, 29 C.F.R. § 

4219.17(f))

Notice of merger PBGC DB multiemployer 

plans

• 29 U.S.C. § 

1411(b)(1).

• 29 C.F.R. § 

4231.8.

No form Merger 

(combining 

assets and 

liabilities into one 

plan) of two or 

more plans

Notice of merger, 

consolidation, spinoff, 

or transfer of plan 

assets or liabilities to 

another plan

IRS DB and DC plans 

(except multi-employer 

plans covered by 

PBGC insurance)

• 26 U.S.C. § 

6058(b).

• Revenue 

procedures 

updated annually.

form 5310-A Change in plan 

sponsor (merger, 

consolidation, 

spinoff or asset 

transfer)

Notice of qualified 

separate lines of 

business (QSLOB)

IRS DB and DC plans • 26 U.S.C. § 

414(r). 

• Revenue 

procedures 

updated annually.

Form 5310-A Elects to be 

treated as 

QSLOB

Notification of resource 

benefit level 

PBGC (must 

also be provided 

to IRS, 

employers, 

employee 

organizations, 

participants, and 

beneficiaries)

DB multiemployer 

plans 

• 29 U.S.C. § 

1426(e)(2).

• 29 C.F.R. § 

4245.5.

No form Insolvency of 

plan in 

reorganization 

(without 

termination)
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 60 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Notice of substantial 

cessation of operations

PBGC DB single-employer 

plans

• 29 U.S.C. §§ 

1362(e) and 

1363(a).

No form Change in 

employer (20 % 

reduction in 

active 

participants 

resulting from 

cessations of 

operations)

Notice of termination PBGC DB multiemployer 

plans

• 29 C.F.R. §§ 

4041A.11 and 

4041A.12.

No form Termination

Notification of failure to 

make contribution to a 

single-employer plan 

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1083(k)(4)(A). 

• 29 C.F.R. § 

4043.81.

Form 200 Underfunding 

(unpaid pension 

payments, 

including interest, 

that exceed $1 

million)

Plan 

termination/distress 

termination: enrolled 

actuary certification

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1341(c)(2).

• 29 C.F.R. § 

4041.45s.

No form Termination 

(distress)

Plan 

termination/distress 

termination: notice of 

request to bankruptcy 

court to approve 

distress termination

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1341(c)(2)(B)(ii). 

• 29 C.F.R. § 

4041.41(c)(2)(iii).

No form Termination 

(distress)

Plan 

termination/distress 

termination: postdistribution certification 

and missing participant 

information

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1341(c)(3)(B). 

• 29 C.F.R. § 

4041.48.

PBGC 602 and 

schedule MP (if plan 

has missing 

participants)

Termination 

(distress) 

Plan 

termination/standard 

termination: termination 

notice

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1341(b)(2)(A). 

• 29 C.F.R. § 

4041.25.

form 500, schedules 

EA-S and REP-S if 

designating a 

representative

Termination 

(standard)

Post-distribution 

certification for 

standard terminations 

and missing participant 

information

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1341(b)(3)(A) 

and (B).

• 29 C.F.R. §§ 

4041.29 and 

4050.6(a).

Form 501 & Schedule 

MP

Termination 

(standard)
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 61 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Post-event notice of 

reportable events: 

active participant 

reduction

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.23.

Form 10-Post-event 

notification

Active participant 

reduction

Post-event notice of 

reportable events: 

application for minimum 

funding waiver

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.33.

Form 10-Post-event 

notification

Underfunding 

(application for 

minimum 

funding)

Post-event notice of 

reportable events: 

bankruptcy or 

insolvency

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.35.

Form 10-Post-event 

notification

Bankruptcy or 

insolvency

Post-event notice of 

reportable events: 

change in contributing 

sponsor or controlled 

group

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.29.

Form 10-Post-event 

notification

Change in plan 

sponsor or 

controlled group

Post-event notice of 

reportable events: 

declaration of 

extraordinary dividend 

or stock redemption

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.31.

Form 10-Post-event 

notification

Employer 

redemption of 

dividend or stock 

Post-event notice of 

reportable events: 

distribution of $10,000 

or more to a substantial 

owner, causing plan to 

have unfunded vested 

benefits

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.27.

Form 10-Post-event 

notification

Underfunding

Post-event notice of 

reportable events: 

failure to make required 

minimum funding 

payment by due date.

a

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.25.

Form 10-Post-event 

notification

Underfunding

Post-event notice of 

reportable events: 

inability of plan to pay 

benefits when due

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.26.

Form 10-Post-event 

notification

Underfunding
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 62 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Post-event notice of 

reportable events: 

liquidation

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.30.

Form 10-Post-event 

notification

Distress

Post-event notice of 

reportable events: loan 

default

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§ 

4043.20 and 

4043.34.

Form 10-Post-event 

notification

Distress

Post-event notice of 

reportable events: 

transfer of benefit 

liabilities

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1343.

• 29 C.F.R. §§

4043.20 and 

4043.32.

Form 10-Post-event 

notification

Change in plan 

sponsor

Report of withdrawal of 

substantial employer

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1363(a).

No formb Change in 

employer 

(withdrawal of all 

or substantially 

all employers). 

(Specifically, an 

employer who is 

a contributing 

sponsor has 

ceased 

operations at a 

facility with a 

resulting 

separation from 

employment of 

more than 20% 

of the 

participants in 

the plan or a 

substantial 

employer has 

withdrawn from a 

multiple 

employer plan.) 

Request for change in 

plan/trust year

IRS DB and DC plans • 26 U.S.C. § 

412(d)(1). 

• Revenue 

procedures 

updated annually.

Form 5308 Change in 

schedule 

(request change 

in plan year)
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 63 GAO-14-92 Reports and Disclosures

Name of

nonroutine report

Agency 

providing 

oversight and 

primary 

recipient

Plans required to 

provide report

Applicable laws, 

regulations, and 

agency guidance Form

Triggering 

event

Termination premium 

declaration 

PBGC DB single-employer 

plans

• 29 U.S.C. § 

1306(a)(7).

• 29 C.F.R. §§ 

4006.7 and 

4007.13.

Form T Termination

Top hat statement filing

(Top hat plans are 

certain plans for select 

group of management 

or highly compensated 

employees )

Labor DC top hat plans • 29 C.F.R. § 

2520.104-23.

Content requirements

found at 29 § C.F.R. 

2520.104-23

Initiation of a top 

hat plan

User fee for employee 

plan determination 

letter request

IRS DB and DC plans • 26 U.S.C. § 

7528.

• Rev. Proc. 2005-

66 and 2007-44

• Other revenue 

procedures 

updated annually.

8717: This form is an 

attachment to forms 

5300, 5307, 5310 and 

5316

Tax exempt 

status

Source: GAO analysis of information provided by Labor, IRS, and PBGC.

a

Post-event notice of reportable events: distribution of $10,000 or more to a substantial owner, 

causing plan to have unfunded vested benefits. Under a recent proposed rule, the criteria for a 

triggering event would be revised to include either distributions to one substantial owner that exceed 

one percent or to all substantial owners that exceed five percent of plan assets. 78 Fed. Reg. 20,039, 

20,063 (Apr. 3, 2013).

b

Report of withdrawal of substantial employer. There is no form currently, but a proposed regulation 

includes a form 4062-E for this purpose. 75 Fed. Reg. 48,283, 48,290 (Aug. 10, 2010).
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 64 GAO-14-92 Reports and Disclosures

Table 8: Plan Sponsors’ Nonroutine Disclosures to Participants, Beneficiaries, and Alternate Payees

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Automatic rollover notice IRS and 

Labor 

 Defined benefit 

(DB) and 

defined 

contribution) DC 

plans

• 26 U.S.C. § 

401(a)(31)(B). 

• 29 C.F.R. § 

2550.404a-2 (safe 

harbor for participant 

disclosures in 

connection with 

automatic rollover 

notice).

Mandatory 

distribution 

Distribution eligible for rollover 

treatment notice (402(f))

IRS DB and DC 

plans

• 26 U.S.C. § 402(c) 

and (f).

• 26 C.F.R. §§ 

1.401(a)-21, 1.402(f)-

1 and 1.408-6.

• IRS Notices 2009-68 

and 2010-84.

Eligible rollover 

distribution

Distributions from pensions, 

annuities, retirement or profit 

sharing plans, IRAs, insurance 

contracts, etc. 

IRS DB and DC 

plans 

• 26 U.S.C. § 6047(d).

• 26 C.F.R. § 

31.3405(c)-1.

Participant takes 

distribution

Election to remain under prior 

vesting schedule

IRS DB and DC 

plans 

• 26 U.S.C. § 

411(d)(10).

Change in 

vesting schedule

Employer stock diversification 

notice

IRS DC plans that 

hold publiclytraded employer 

securities other 

than 

“freestanding” 

ESOPs with no 

401(k) or 

401(m) 

contributions

• 26 U.S.C. § 

401(a)(35).

• 29 U.S.C. §§ 

1021(m) and 1054 (j).

• IRS Notice 2006-107.

Diversification 

eligibility
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 65 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

ERISA 404(c) disclosure for 

fiduciary relief

Labor DC plans. 

(Disclosure is 

sent by 

fiduciaries of 

participantdirected 

individual 

account plans to 

obtain fiduciary 

relief related to 

participants’ 

investment 

choices) 

• 29 U.S.C. § 1104(c).

• 29 C.F.R. §§ 

2550.404c-1 and 

2550.404a-5.

Specific plan 

design 

Extension of amortization period IRS In addition to 

participants, also 

to be sent to 

PBGC, 

contributing 

employers, and 

unions

DB 

multiemployer 

plans

• 26 U.S.C. § 431(d).

• 29 U.S.C. § 

1301(a)(21).

Application for 

extension 

Investments: prospectuses SEC, FINRA, 

and Labor

 DC plans 

claiming 404(c) 

protection or 

allowing 

participant 

investment in 

employer stock

• 15 U.S.C. §§ 77j and 

80a-24.

• 29 C.F.R. § 

2550.404a-5(d). 

Upon request

Loans: amortization schedule IRS DC plans • 26 U.S.C. § 72(p). Participant 

requests loan 

Multiemployer plan information Labor In addition to 

participants, also 

to be sent to 

employee 

representative or 

employer 

obligated to 

contribute to the 

plan

DB 

Multiemployer 

plans

• 29 U.S.C. § 1021(k).

• 29 C.F.R. § 

2520.101-6.

Upon request

Notice of endangered or critical 

status plans

IRS In addition to 

participants, also 

to be sent to 

bargaining parties, 

PBGC, and Labor

DB 

multiemployer 

plans

• 26 U.S.C. § 

432(b)(3). 

• 29 U.S.C. § 

1085(b)(3).

Endangered or 

critical status in 

plan year
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 66 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Notice of failure to meet minimum 

funding standards 

Labor In addition to 

participants, also 

to be sent to IRS 

and PBGC

DB singleemployer plans 

and DC money 

purchase plans

• 29 U.S.C. §§ 1021(d) 

and 1132(c)(3).

Underfunding 

(failure to make 

missed payment 

within correction 

period)

Notice of intent to terminate the 

plan

IRS DB and DC 

plans

• 26 C.F.R. § 1.7476-2.

• Revenue procedures 

updated annually.

Termination

Notice of mass withdrawal to 

employers 

PBGC DB 

multiemployer 

plans

• 29 C.F.R §§ 

4219.11(b)(1), 

4219.16(a) and 

4219.18(d).

Change in 

employer 

(withdrawal of all 

or substantially 

all employers)

Notice of participant consent to the 

distribution

IRS DC plans • 26 U.S.C. § 

411(a)(11).

• 26 C.F.R. §§ 

1.401(a)-20 and 

1.411(a)-11(c).

Distribution 

amount exceeds 

mandatory 

cashout limit

Notice of plan termination Labor DC individual 

account plans 

wanting safe 

harbor relief

• 29 U.S.C. § 1104(a).

• 29 C.F.R. § 

2550.404a-3.

Termination

Notice of qualified change in 

investment options (QCIO)

Labor In addition to 

participants, also 

to be sent to IRS 

and PBGC

DC plans • 29 U.S.C. § 

1104(c)(4).

Change in plan 

structure 

Notice of qualified domestic 

relations order (QDRO) 

procedures

IRS and 

Labor

Only to be sent to 

participants, 

beneficiaries, and 

alternate payees 

named in a 

domestic relations 

order

DB and DC 

plans

• 26 U.S.C. § 

414(p)(6). 

• 29 U.S.C. § 

1056(d)(3)(G) 

(requires a plan to 

establish procedures 

in writing).

Marital 

dissolutions or 

actions for child 

or family support

Notice of reallocation liability 

following mass withdrawal 

PBGC Rather than to 

participants, to be 

sent to employers

DB 

multiemployer 

plans

• 29 C.F.R. § 

4219.16(c).

Employer mass 

withdrawal

Notice of redetermination liability 

following mass withdrawal 

PBGC Rather than to 

participants, to be 

sent to employers 

liable for 

redetermination 

liability

DB 

multiemployer 

plans

• 29 C.F.R. §§ 

4219.16(b) and 

4219.18(e).

Employer mass 

withdrawal
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 67 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Notice of Reduction in Adjustable 

Benefits

IRS In addition to 

participants, also 

to be sent to 

unions and 

contributing 

employers 

DB 

multiemployer 

plans that are 

critical status

• 26 U.S.C. § 

432(e)(8)(C). 

Critical status 

Notice of reorganization PBGC Rather than to 

participants, to be 

sent to employers 

and employee 

organizations

DB 

multiemployer 

plans 

• 29 U.S.C. § 1422. Change in plan 

(Reorganization)

Notice of request for a waiver from 

minimum funding requirement

IRS DB target 

benefit or 

money 

purchase plans

• 26 U.S.C. § 

412(c)(6).

• 29 U.S.C. § 

1082(c)(6).

Underfunding

Notice of restriction on benefit 

accruals and distributions

IRS and 

Labor 

 DB Singleemployer plans

• 29 U.S.C. §§ 1021(j) 

and 1132(c)(4).

Underfunding

Notice of right to defer distribution IRS DB and DC 

plans

• 26 U.S.C. § 

411(a)(11).

• Notice To 

Participants of 

Consequences of 

Failing to Defer 

Receipt of Qualified 

Retirement Plan 

Distributions; 

Expansion of 

Applicable Election 

Period and Period for 

Notices, 73 Fed. 

Reg. 59,575 (Oct. 9, 

2008) (proposed rule 

and notice of public 

hearing)a

Distribution 

eligibility

. 

Notice of right to elect not to have 

federal income tax withheld from 

distributions

IRS DB and DC 

plans

• 26 U.S.C. § 

3405(e)(10).

Distribution 

eligibility

Notice of safe harbor 

discontinuance 

IRS DC safe harbor 

plans

• 26 U.S.C. § 

401(k)(12) and(13).

• 26 C.F.R. § 1.401(k)-

3(g). 

Discontinuance 

of safe harbor 

401(k) 

contributions
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 68 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Notice of significant reduction in 

the rate of future benefit accruals

IRS In addition to 

participants, also 

to be sent to 

contributing 

employer and 

certain employee 

organizations

DB and DC 

plans subject to 

U.S.C. § 412

• 26 U.S.C. § 

4980F(e).

• 29 U.S.C. § 1054(h).

• 26 C.F.R. § 

54.4980F-1.

Amendment of 

significant 

reduction in 

future benefit 

accrual 

Notice of suspension of benefit 

upon reemployment of retiree

IRS and 

Labor

 DB plans • 26 U.S.C. § 

411(a)(3)(B). 

• 29 U.S.C. § 

1053(a)(3)(B). 

• 29 C.F.R. § 

2530.203-3(b)(4). 

Reemployed 

after retirement

Notice of transfer of excess 

pension assets to retiree health 

benefit account

Labor and 

IRS

Two-fold notice 

requirements: one 

notice to be sent 

to plan 

participants and 

beneficiaries; and 

a slightly different 

notice to be sent 

to Labor, 

Treasury. and 

each employee 

organization 

representing 

participants in the 

plan

DB singleemployer plans

• 26 U.S.C. §§ 401(h) 

and 420.

• 29 U.S.C. § 1021(e).

• Minimum Cost 

Requirement 

Permitting the 

Transfer of Excess 

Assets of a Defined 

Benefit Pension Plan 

to a Retiree Health 

Account, 66 Fed. 

Reg. 32,897 (June 

19, 2001), and (final 

rule). 

• DOL Tech Rel. 91-1.

Plan sponsor 

decision to 

transfer excess 

pension assets 

to a retiree 

health benefits 

account

Notice to interested parties of 

application for advanced 

determination regarding the 

qualifications of a plan under 

Internal Revenue Code

IRS DB and DC 

plans filing for 

5300, 5307 or 

6406 

determination 

letters

• 26 C.F.R. §§ 1.7476-

1(b), 1.7476-2(e)(1), 

and 

601.201(o)(3)(xiv)-

(xx).

• Revenue procedures 

updated annually.

Tax exempt 

status

Notification of adverse benefit 

determination

Labor DB and DC 

plans

• 29 U.S.C. § 1133.

• 29 C.F.R. § 

2560.503-1(f).

Claim for 

pension benefits 

denied

Participant loan program 

disclosures

Labor DB and DC 

plans 

• 29 U.S.C. § 

1108(b)(1).

• 26 U.S.C. § 

4975(d)(1).

• 29 C.F.R. § 

2550.408b-1.

Participant 

requests loan
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 69 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Plan documents (e.g., plan 

documents, bargaining 

agreements, trust documents, 

contracts)

Labor DB and DC 

plans

• 29 U.S.C. §§ 

1024(b)(2) and (b)(4), 

and 1132(c)(1).

Upon request

Plan termination/distress 

termination: disclosure of plan 

termination information

PBGC In addition to 

participants, also 

to be sent to 

PBGC 

DB singleemployer plans

• 29 U.S.C. § 

1341(c)(2)(D). 

• 29 C.F.R. § 4041.51.

Termination 

(distress)

Plan termination/distress 

termination: notice of annuity 

information

PBGC In addition to 

participants, also 

to be sent to

PBGC 

DB singleemployer plans

• 29 C.F.R. § 

4041.48(c).

Termination 

(distress)

Plan termination/distress 

termination: notice of benefit 

distribution 

PBGC DB singleemployer plans

• 29 U.S.C. § 1341(c).

• 29 C.F.R. § 

4041.48(a).

Termination 

(distress)

Plan terminations/distress 

termination: notice of intent to 

terminate (NOIT)

PBGC DB singleemployer plans

• 29 U.S.C. § 

1341(a)(2).

• 29 C.F.R. § 4041.43.

Termination 

(distress)

Plan terminations/standard 

termination: notice of annuity 

contract

PBGC DB singleemployer plans

• 29 C.F.R. § 

4041.28(d).

Termination 

(standard)

Plan terminations/standard 

termination: notice of annuity 

information

PBGC DB singleemployer plans

• 29 C.F.R. §§ 

4041.23(b)(5) and 

4041.27.

Termination 

(standard)

Plan terminations/standard 

termination: notice of Intent to 

Terminate (NOIT)

PBGC DB singleemployer plans

• 29 U.S.C. § 

1341(a)(2).

• 29 C.F.R. § 4041.23.

Termination 

(standard)

Plan terminations/standard 

termination: notice of plan benefits 

(NOPB) 

PBGC DB singleemployer plans

• 29 C.F.R. § 4041.24. Termination 

(standard)

Qualified joint and survivor annuity 

(QJSA) notice

IRS DB and DC 

plans subject to 

26 U.S.C. § 412

• 26 U.S.C. §§ 

401(a)(11) and 

417(a)(3)(A). 

• 26 C.F.R. § 

1.417(a)(3)-1.

Eligibility for 

benefit payment 

Qualified pre-retirement survivor 

annuity (QPSA) notice

IRS Only to be sent to 

married 

participants age 

32-35

DB and DC 

plans subject to 

29 U.S.C. § 412

• 26 C.F.R. §§ 

401(a)(11)(A) and 

417(a)(3)(B). 

• 26 C.F.R. §§ 

1.401(a)-20 (Q&A 35) 

and 1.417(a)(3)-1.

Married 

participants age 

32-35
Appendix II: Required Pension Plan Reports 

and Disclosures

Page 70 GAO-14-92 Reports and Disclosures

Name of nonroutine disclosure

Agency 

providing 

oversight 

and/or 

guidance

Special 

instructions 

about recipients 

of disclosure

Plans required 

to provide 

disclosure

Applicable laws, 

regulations, and agency 

guidance

Triggering 

event

Request for approval of retroactive 

plan amendment that would 

reduce accrued benefits 

IRS In addition to 

participants, also 

to be sent to 

employee 

organizations, and 

IRS

DB plans • 26 U.S.C. §§ 

411(d)(6), 412(d)(2), 

and 4980F.

• 29 U.S.C. § 1082(e).

• Rev. Proc. 94-42.

Change in plan 

structure 

Safe harbor 401(k) notice IRS In addition to 

participants, also 

to be sent to Labor

DC safe harbor 

plans

• 26 U.S.C. § 

401(k)(12)(D). 

• 26 C.F.R. §§ 

1.401(k)-3(d) and 

1.401(k)-3(f).

Change in plan 

design (safe 

harbor)

Salary deferral election form IRS DC plans with 

cash or deferral 

arrangements 

(CODA)

• 26 C.F.R. § 1.401(k)-

1(a)(3). 

Enrollment

Sarbanes-Oxley blackout notice Labor DC plans • 29 U.S.C. § 1021(i).

• 29 C.F.R. § 

2520.101-3(b).

Blackout period

Separated participants with 

deferred vested benefits 

IRS DB and DC 

plans

• 26 U.S.C. § 6057(e).

• 29 U.S.C. § 1025(c).

• 26 C.F.R. § 

301.6057-1.

Participants who 

are terminated 

and not paid out 

that must be 

reported on 

Form 8955-SSA 

Statement of accrued and 

nonforfeitable benefits

Labor DB and DC 

plans

• 29 U.S.C. § 1059. Upon request, 

no more than 

once a year, 

termination of 

service, or a one 

year break in 

service

Summary of material modifications 

(SMM)

Labor Labor, upon 

request

DB and DC 

plans

• 29 U.S.C. §§ 1022 

and 1024.

• 29 C.F.R. § 2520.1-

4b-3.

Material 

modification to 

the plan

Source: GAO analysis of information provided by Labor, IRS, and PBGC.

a

Notice of right to defer distribution: the scheduled public hearing was canceled when no one 

requested to speak. 74 Fed. Reg. 7,021 (Oct. 9, 2008).
Appendix III: Disclosures with Readability 

Provisions under ERISA or IRC

Page 71 GAO-14-92 Reports and Disclosures

Disclosure Standard Citation 

Annual funding notice “...shall be written in a manner so as to be understood by 

the average plan participant.” 

Labor: 29 U.S.C. § 1021(f)(4)(B).

Eligible automatic 

contribution arrangement

“...written in a manner calculated to be understood by the 

average employee to whom the arrangement applies.”

IRS: 26 U.S.C. § 414(w)(4)(A)(ii).

Employer stock 

diversification notice

“The notice required by this subsection shall be written in 

a manner calculated to be understood by the average 

plan participant...”

Labor: 29 U.S.C. § 1021(m).

Notice for fiduciary relief 

for investments in qualified 

default investment 

alternatives (QDIA) 

“...is written in a manner calculated to be understood by 

the average employee eligible to participate.”

Labor: 29 U.S.C. § 1104(c)(5)(B)(ii). 

Notice of availability of 

investment advice

“...calculated to be understood by the average plan 

participant...”

IRS: 26 U.S.C. § 4975(f)(8)(H)(i).

Labor: 29 U.S.C. § 1108(g)(8)(A).

Notice of reduction in 

adjustable benefits

“...shall be written in a manner so as to be understood by 

the average plan participant...” 

IRS: 26 U.S.C. § 432(e)(8)(C)(iii)(II).

Labor: 29 U.S. C. § 1085(e)(8)(C)(iii)(II).

Notice of significant 

reduction in the rate of 

future benefit accruals

“...written in a manner calculated to be understood by the 

average plan participant...”

IRS: 26 U.S.C. § 4980F(e)(2).

Labor: 29 U.S.C. § 1054(h)(2).

Periodic pension benefit 

statement

“...shall be written in a manner calculated to be 

understood by the average plan participant...”

Labor: 29 U.S.C. § 1025(a)(2)(A)(iii).

Labor: 29 U.S.C. § 1025(a)(2)(B)(ii)(II).

Qualified automatic 

contribution arrangement

“...is written in a manner calculated to be understood by 

the average employee to whom the arrangement 

applies...”

IRS: 26 U.S.C. § 401(k)(13)(E)(i)(II). 

Sarbanes-Oxley blackout 

notice

“...shall be written in a manner calculated to be 

understood by the average plan participant...”

Labor: 29 U.S.C. § 1021(i).

Summary plan description “...shall be written in a manner calculated to be 

understood by the average plan participant.”

Labor: 29 U.S.C. §§ 1022(a).

Source: Federal laws, as cited above.

Appendix III: Disclosures with Readability 

Provisions under ERISA or IRC
Appendix IV: Comments from the Department 

of Labor

Page 72 GAO-14-92 Reports and Disclosures

Appendix IV: Comments from the 

Department of Labor
Appendix IV: Comments from the Department 

of Labor

Page 73 GAO-14-92 Reports and Disclosures
Appendix IV: Comments from the Department 

of Labor

Page 74 GAO-14-92 Reports and Disclosures
Appendix V: Comments from the Department 

of Treasury/Internal Revenue Service

Page 75 GAO-14-92 Reports and Disclosures

Appendix V: Comments from the Department 

of Treasury/Internal Revenue Service
Appendix V: Comments from the Department 

of Treasury/Internal Revenue Service

Page 76 GAO-14-92 Reports and Disclosures
Appendix V: Comments from the Department 

of Treasury/Internal Revenue Service

Page 77 GAO-14-92 Reports and Disclosures
Appendix VI: Comments from the Pension 

Benefits Guaranty Corporation

Page 78 GAO-14-92 Reports and Disclosures

Appendix VI: Comments from the Pension 

Benefits Guaranty Corporation
Appendix VI: Comments from the Pension 

Benefits Guaranty Corporation

Page 79 GAO-14-92 Reports and Disclosures
Appendix VII: Comments from the Social 

Security Administration 

Page 80 GAO-14-92 Reports and Disclosures

Appendix VII: Comments from the Social 

Security Administration
Appendix VIII: GAO Contact and Staff 

Acknowledgments

Page 81 GAO-14-92 Reports and Disclosures

Charles A. Jeszeck, Director, (202) 512-7215 or jeszeckc@gao.gov.

In addition to the individual above, Margie K. Shields (Assistant Director), 

Margaret Weber (Analyst-in-Charge), and Ted Leslie made significant 

contributions to this report. James Bennett, Ted Burik, Holly Dye, Sara 

Edmondson, Nisha Hazra, Kathy Leslie, Sheila McCoy, Jonathan 

McMurray, Christopher Morehouse, and Craig Winslow also contributed 

to this report. 

Appendix VIII: GAO Contact and Staff 

Acknowledgments 

GAO Contact

Staff 

Acknowledgments 
Private Pensions: Revised Electronic Disclosure Rules Could Clarify Use 

and Better Protect Participant Choice: GAO-13-594. Washington, D.C.: 

September 13, 2013.

Federal Agencies Should Collect Data and Coordinate Oversight of 

Multiple Employer Plans. GAO-12-665. Washington, D.C.: September 13, 

2012.

Defined Contribution Plans: Approaches in Other Countries Offer 

Beneficial Strategies in Several Areas GAO-12-328. Washington, D.C.: 

March 22, 2012.

Financial Literacy: Strengthening Partnerships in Challenging Times. 

GAO-12-299SP. Washington, D.C.: February 9, 2012).

Private Pensions: Additional Changes Could Improve Employee Benefit 

Plan Financial Reporting. GAO-10-54. Washington, D.C.: November 5, 

2009.

Retirement Savings: Automatic Enrollment Shows Promise for Some 

Workers, but Proposals to Broaden Retirement Savings for Other 

Workers Could Face Challenges. GAO-10-31. Washington, D.C.: October 

23, 2009.

Private Pensions: Changes Needed to Provide 401(k) Plan Participants 

and the Department of Labor Better Information on Fees. GAO-07-21. 

Washington, D.C.: November 16, 2006.

Social Security Statements: Social Security Administration Should Better 

Evaluate Whether Workers Understand Their Statements. GAO-05-192. 

Washington, D.C.: April 1, 2005.

Private Pensions: Government Actions Could Improve the Timeliness and 

Content of Form 5500 Pension Information. GAO-05-491. Washington, 

D.C.: June 3, 2005.

Private Pensions: Timely and Accurate Information Is Needed to Identify 

and Track Frozen Defined Benefit Plans. GAO-04-200R. Washington, 

D.C.: December 17, 2003. 

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