Roman Catholic Archdiocese of Boston 401(k) Retirement Savings Plan. Employer Toolkit Webinars December 2011

Transcription

1 Roman Catholic Archdiocese of Boston 401(k) Retirement Savings Plan Employer Toolkit Webinars December 2011

2 Information You Need to Know Now/ Things You Need to do Soon All paperwork for December and January conversions must be to IOI by Friday, December 9. Let Denise or Carol know if you need help. Year-end blackout period 12/22 3 pm 12/28 end of day Authorization Agreement for Automatic (ACH) Debits for Benefits to IOI. Note: correct fax # is (574) All 403(b) contributions will end with the last paycheck of December The new 401(k) Plan will be effective January 1, Incardinated diocesan priests are included. Employees MUST complete a Salary Deferral Form to begin contributing to the new 401(k) Plan. 2

3 Black Out Period - Applicable ONLY to Locations Processing Payroll With IOIPay as of December 22, 2011 All 2011 payrolls (i.e., all pay dates through December 31, 2011) MUST BE CLOSED AND PROCESSED by 3:00 pm on Thursday December 22, 2011 (a period of three business days). Only 2011 check dates may be processed through December 22, Example: If you have employees whose regular check dates are December 27, 28, 29, 30, and you want these payments to be reported as 2011 wages, you must close and process these payrolls no later than 3:00 pm on Thursday December 22,

4 Funding for Checks Cut Early due to Blackout Period If you PROCESS payroll early (by December 22) for check dates during or after the blackout period (check dates December 26, 27, 28 and 29) funds will be pulled from your payroll account as follows: direct deposit and taxes will be pulled one day prior to the CHECK DATE. IOI fees will be debited one day after the PROCESS date. 4

5 After the Black Out Period No 2012 payrolls may be closed/processed until Thursday, December 29, Only 2012 check dates may be processed on and after this date. Example: if you have employees who will be paid on Tuesday, January 3, 2012, you must process their payroll on Thursday, December 29, 2011 and not before. 5

6 Emergency check needs during the Blackout Period Check On Demand feature will not be available. An Accounts Payable check (processed through QuickBooks) should be used for any payments during the Blackout Period. Any QuickBooks Accounts Payable checks should then be processed as Retro Adjustments with the first 2012 payroll. Please contact IOI directly if you need assistance with posting an A/P check as a Retro Adjustment after the Blackout Period ends. 6

7 Year-End Processing IOI will run 1099s (for vendors paid through IOI) and W- 2s in January. These will be printed and mailed to you after they are run. Year-end adjustments must be made by December 22, 2011 for Examples: Group Term Life (instructions for calculating GTL imputed income and tax amounts and for IOI data entry are posted in Right Networks Notices folder) Other (clergy room & board, clergy auto insurance, Mass stipends not paid through payroll) If adjustments need to be made after December 22, contact IOI for assistance 7

8 IOI Benefits Sweep Authorization Form Each location MUST complete and return the Authorization Agreement for Automatic (ACH) Debits for Benefits to IOI no later than 5:00 p.m., Thursday, December 22, A form must be completed for each FEIN (ex: parish and school). Forms can be scanned and ed to Payroll.Support@ioipay.com or faxed to (574) Note: incorrect fax number provided in the toolkit! Any location not completing and returning the Authorization form will not be able to send salary deferrals to the 401(k) for employees until this form is completed. 8

9 RCAB 403(b) Plan Freeze No more contributions to any 403(b) accounts after last paycheck of Deduction name will change to DO NOT USE during blackout period. You must remove any 403(b) deductions prior to processing your first 2012 payroll. This can be done now, with an effective the date after your last 2011 check date. Will host meetings/webinars for 403(b) participants in late January with MetLife regarding options for employees with money in these accounts Freeze includes priests with 403(b) accounts Review FAQs and other info on 403(b) at 9

10 RCAB 401(k) Plan in Effect 1/1/2012 New 401(k) deductions will appear on 12/29/11: 401P = pre-tax (max = $17,000) 401C = catch-up contribution (must be at least age 50 by the end of the calendar year), pre-tax (max = $5,500) ROTH = Roth after-tax contribution (max = $17,000) ROTC = Roth after-tax catch-up contribution (see above re: pre-tax catch-up) Deduction should be entered as any other new deduction. This can be done now with an effective date of 1/1/2012. Will need to set up G/L account in QuickBooks k Withholding. 10

11 RCAB 401(k) Plan in Effect 1/1/2012 With new 401(k) deduction, employees can: change these amounts at any time by completing a new Salary Deferral Form Request a dollar amount OR a %. % deferrals are presumed to apply to future pay rates at the same %. Flat dollar amounts are presumed to stay as is. mix and match Roth and pre-tax start and stop only on a monthly basis Employees putting money into the 403(b) will need to complete a new Salary Deferral Form for the 401(k) (they cannot use the 403(b) deferral form already in place) 11

12 RCAB 401(k) Plan in Effect 1/1/2012 All employees (FT and PT) can participate in 401(k). 3,600 names already submitted to TIAA- CREF and accounts already set up in late October For new hires since 10/1/11, will do another bulk upload before 12/9/11. After that, wait for salary deferrals to begin to prompt welcome packet and account numbers. 12

13 Employees Needing Help/Info with 401(k) account For loans, in-service withdrawals (over age 59.5), hardship withdrawals, employee should contact TIAA-CREF at (800) Use online account (see welcome kit for account numbers) For investment advice, wait for announcement of scheduled dates/times/locations starting in late January 13

14 Monthly Billing Employees working more than 1,000 hrs/year with at least one year of service ( pension eligible ) receive the 401(k) Employer Contribution Will bill Employer Contribution through CMB, starting in February: A 2% employer core contribution into the 401(k) Plan based on annualized salary A.15% (for parish and parish-related locations) per person per year administrative fee ($55.00 per person per year for related entities) Will deposit these amounts into EE TIAA-CREF accounts by 3/31/2013 2% reduces to 1% for 2013 and

15 Priest Participation in the 401(k) Plan Incardinated priests can participate if assigned to location within direct control of the Archbishop. Not eligible: Religious priests Non-incardinated priests (from another diocese, often from another country) Matching contribution for priests with at least one year since ordination equal to 50% of the first 4% compensation contributed (note error in Highlights document) Will also pull priest match through CMB for 2012 Separate info sessions for priests starting in late January 15

16 Questions? 16

17 Where to find more information Toolkit and all supporting documents posted in Right Networks Notices folder Will also post to under Administrator Toolkit. 17