What is Form 5500?

The IRS, Department of Labor, and Pension Benefit Guaranty Corporation have created the Form 5500-series returns to fulfill annual reporting requirements for employee benefit plans under ERISA and the Internal Revenue Code.

Here's what you need to know:

• Plan sponsors are generally required to file the Form 5500 on the last day of the seventh month after their plan year ends.
• Filing the Form 5500 allows you to report plan activity, provide information about the plan's qualification, financial condition, investments, and overall operations.
• It's an annual report that employee benefit plans must submit to the Department of Labor and Internal Revenue Service.

The Form 5500 serves as a report of your plan's activity, and it's an essential requirement each year. This form helps you disclose important financial and operational details. The information you provide is used by the Department of Labor, Internal Revenue Service, and the Pension Benefit Guaranty Corporation for research and compliance purposes.

The annual report requires disclosure of various aspects, including:

• General plan information and details about service providers.
• The number of participants in the plan.
• Financial data, such as assets, liabilities, income, expenses, and transfers.
• Types of benefits provided by the plan.
• Operational activities.
• Plan funding.