Kraft also will help companies set up their benefit plans, discuss different options and go over the pros and cons to find what works with a particular employee group. It will have an attorney look at the plans to make sure they are in compliance with the law. When plans are in trouble or get audited by the IRS or the Department of Labor, KraftCPAS can do some number crunching and look at everything in the plan to identify issues or help the company through the audit process. Potential pitfalls Employers need to be vigilant with their employee benefit plans or they could be subject to penalties that are sometimes severe. Penalties can be instituted when there are late filings or non-filings of the 5500 Form, forms are incomplete, or there has not been appropriate communication with employees who participate in the plan.
Employees can also sue their company when there are inequities or problems with a plan.
Sometimes employees are inappropriately left off a plan schedule. When it is uncovered that employees have been omitted, the company has to make up contributions plus earnings for the years impacted. Companies can exclude bonuses in their plan documents, but if the documents say gross compensation should be included, then bonuses have to be taken into account. Penalties can even result in jail time, and breach fiduciary penalties may result in a company paying 20 percent of a breach that occurred. Earliest info on new businesses, homeowners Sales Prospecting Center Real info, real opportunities.