A term used to identify an entity, organization or firm hired by the employer to assist the actual Plan Administrator in fulfilling its duties required under the terms of the plan. Third Party Plan Administrators typically provide services which include, but are not necessarily limited to, designing, producing, amending and restating plan documents; aiding in the transition (if applicable) from the plan’s current investment platform to a newly selected investment platform; preparing employer and employee benefit statements; assisting in processing all types of distributions from the plan; preparing loan paperwork for plan participant and trustee(s) execution; testing the plan each year to gauge its compliance with all IRS non-discrimination requirements as well as plan and participant contribution limits; allocation of employer contributions and forfeitures; calculating participant vested percentages; preparing annual returns and reports required by IRS, DOL or other government agencies and other duties as required by the employer.
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