Distribute 2019 Summary Annual Reports by December 15
December 15 is the deadline to distribute the 2019 Group Benefits Program and 401(k) Pension Plan summary annual reports (SARs). If you haven’t distributed the SARs, do so right away. Download yours from the Summary Annual Report page of the Employee Benefits website.
The Employee Retirement Income Security Act (ERISA) requires employers to give the SAR to plan participants and beneficiaries. The SAR is a summary of the annual Form 5500 that shows the financial status of the plans.
Provide copies of the Group Benefits Program SAR to:
- Active and disabled employees (including those employees on a leave of absence),
- Retirees,
- Retained attorneys,
- Directors,
- COBRA beneficiaries, and
- Children (custodial parents or guardians in the case of minor children) covered under qualified medical child support orders who are participating in or who have a benefit under the NRECA Group Benefits Program.
Give copies of the 401(k) Plan SAR to active and disabled employees (including those employees on a leave of absence) who are participating in or who have a benefit in the 401(k) Plan. Early December, NRECA mailed the 401(k) Plan SAR to participants who are required to receive the SAR but are no longer employed, retirees with account balances, alternate payees, and beneficiaries of deceased and terminated vested participants.
Follow the online distribution instructions, noting that electronic distribution rules are different for group benefit plans and retirement plans. If your co-op’s business operations have been negatively impacted by the pandemic, check the COVID-19 page on timeline extensions to find out if your co-op can use certain temporary electronic delivery methods.
Acknowledgement is required
If you’ve already distributed your documents, remember to acknowledge distribution by December 31, 2020. Use the distribution acknowledgement form to create a permanent record that you distributed the document as required. Email or fax the completed form to the benefits compliance team and keep the original in your plan files.
If you have questions about the SAR, contact the benefits compliance team at 866.673.2299, option 7, or pension.compliance@nreca.coop.