100 / 499
Prepared for Springfield R-XII School District
18
Retirement Manager IRC Limits Monitoring
Retirement Manager automatically monitors basic Internal Revenue Code (IRC)
contribution limits, age-based catch-up, and special catch-up limits when applicable to
identify excess deferrals. It monitors the following IRC limits:
403(b) basic limit under 402(g), age-based catch-up and 15-year lifetime cap
expansion
457(b) basic limit, age-based catch-up (where applicable) and special catch-up
415 limits
Cross-plan limits for situations when the 402(g) limit applies across multiple plans
of the same employer
Retirement Manager uses data provided and approved by the plan sponsor to
determine the maximum allowable amounts. It also monitors the amount(s)
contributed to each plan and produces online reporting across all plan types and
vendors. Retirement Manager limits enforcement is designed to prevent participating
employee’s contributions in excess of the available monitored IRC contribution limits
for which each employee is eligible from being deposited in the employee’s account in
the retirement plan. With Retirement Manager Limits Monitoring in place, excesses
should be greatly reduced.
In addition, Retirement Manager provides an enforcement module designed to
prevent excess deferrals through a proactive process that systematically reduces
and/or stops excess deferrals from occurring. The process includes plan sponsor and
participant notifications through reports and emails. An additional reactive
enforcement process is designed to be a second IRC limits validation to prevent
excess deferrals from occurring.
Common Remitter Services
Retirement Manager provides simplified contribution processing and remittance
procedures through common remitter services; consolidated compliance procedures with
cross-vendor contribution limit monitoring, reporting, and a suite of online retirement plan
administration reports.
The common remitter capability enables plan sponsors to send a single remittance file
and wire after each payroll. Each plan sponsor remittance is automatically in balance
since Retirement Manager forwards all contribution changes to the payroll system(s).
The contribution files sent to each vendor contain census data for each participant that
has elected them as a vendor.
Participant Statements
Retirement Manager provides an online, plan-level benefit statement reflecting year-to-
date contributions and account balances across vendors for each employee. Plan
sponsors are provided an aggregate view of retirement plan participation across
vendors. Retirement Manager does not impact the participant statements that each
vendor provides.