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 The INTAC Insider December 2013/January 2014
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All of us at INTAC are honored and grateful to be at your service. Thank you for your confidence and allowing us to be a part of your business. The INTAC family wishes you and your family a very happy, healthy and peace-filled holiday season; and may 2014 bring you much joy and prosperity.
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Signed into law in 1996, the federal Defense of Marriage Act (DOMA) is a small law that has caused big controversy. In the past, DOMA provided that for all federal legal purposes, including operating a qualified retirement plan, only marriages between men and women were considered valid. In other words, marriages between same-sex couples were not recognized even if those marriages were valid under certain state laws. Recently, the United States Supreme Court, in United States v. Windsor, revised Section 3 of DOMA, which was determined to be unconstitutional. Although Section 2, which allows each state to determine whether it will recognize same-sex marriages performed in other states, still stands, the IRS and DOL issued a ruling to clarify that for retirement plan purposes, same-sex marriages are now recognized as long as they were valid at the time in the state where performed. In short, this "state of celebration" rule means that employers in states that do not recognize same-sex marriages must still treat same-sex couples as married with respect to their company-sponsored retirement plans.
The downfall of DOMA has leveled the field in how married participants are treated for purposes of retirement benefits; however, there are a number of items to be addressed, from plan design to operational procedures. Although many of these are straightforward, working through them with experienced and knowledgeable professionals will ensure a thorough decision-making process and go a long way toward preventing unintended or unanticipated outcomes.
Continue reading to learn more about the direct impact this ruling has on the day-to-day operations of qualified retirement plans: Down With DOMA
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2014 IRS Cost of Living Adjustments
Last edition of the Insider reported estimated plan limits in cost of living adjustments, due to the federal government shutdown. The results are are now in! These limitations are adjusted by reference to Section 415(d) of the Internal Revenue Code. Below is a table of the newly increased limits for 2014; you can also follow this link to visit the Plan Limits page on our website.
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2014
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2013
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� 401(k) Elective Deferral Limit
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$17,500
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$17,500
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� SIMPLE Retirement Plans Deferral Limit
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$12,000
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$12,000
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� Defined Contribution Plan 415 Dollar Limit
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$52,000
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$51,000
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� Age 50+ Catch-up Limit
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$5,500
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$5,500
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� Compensation Limit
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$260,000
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$255,000
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� Social Security Taxable Wage Base
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$117,000
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$113,700
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� Defined Benefit Plan Annual Benefit Limit
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$210,000
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$205,000
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Stay Connected!
 
Mobile Me!
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INTAC's Special News & Hot Topics
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Does Your Retirement Plan Need to be Audited? - INTAC's newest blog post
In these uncertain economic times, companies have been fluctuating in size. As a business adds or eliminates employees, it must continue to ascertain whether it remains in the same size bracket as before. In categorizing a plan's "small" or "large" status (that being more or less than 100 participants at the beginning of the plan year), an employer should be able to determine the general audit and filing requirements (as set forth by the Department of Labor) for its qualified retirement plan.
So what if a plan routinely fluctuates between categories year to year by virtue of participant level? Good news: there is an exception to the rule that would not require the plan to switch between being considered a "small" plan or a "large" plan. This rule is known as the 80-120 Participant Rule. Follow the article link below to learn more about this exception to the DOL general rule on plan audits and filing requirements.
Visit INTAC's website for more industry-related Blogs, Hot Topics and Fact Sheets!
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INTAC makes every effort to bring its clients and industry partners the most updated industry news and information. This includes continually enhancing our website with the best possible tools you need to stay informed.
 It's that time of year! We have updated the Annual Timeline for Retirement Plans (for December 31 year-end plans). You can find the current chart on our website by following this link to our Compliance Calendar page: Annual Timeline online. On this page, we've also posted Recurring Deadlines for 401(k) Plans, which was recently updated for 2014 by ASPPA asap.
As always, be sure to check out some of our latest Blogs and other News pages for more of the timely and important industry topics we are sharing with the world!
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| What It Means To Be A Part Of The INTAC Family |
 As a valued client, you automatically qualify for a host of unique benefits. Here are just some of what INTAC's Gold Star Services include and an explanation of our commitment to your privacy:
 Consulting for Failed & Narrowly Passed Compliance Testing - Our pension consultants are experts in designing plans that meet the specific goals of our plan sponsors. That specialized skill becomes critical during the times of pre-testing (usually mid-plan year) and testing (the few months following a plan year-end).
Audit Support Services - Due to the recent increase of IRS, DOL and PBGC audits in the retirement plan industry, trust that our qualified plan administrators are prepared to provide you with the necessary support you need should you ever be faced with this circumstance. Visit the Consultant's Corner to find out more.
EFAST Liaison Service - As part of our Gold Star Service, if you require any assistance or have questions about the online registration process and/or the signing of your 5500 Forms, please contact our office at 201-447-2525 and request to be connected to a member of our EFAST Liaison Team who can personally walk you through the process. Check out Consultant's Corner for additional details.
Client Portal - Clients always have access to the INTAC Client Portal, which is our secure website monitored daily by our pension consultants, for submitting plan data and viewing plan-related documents and information. For detailed instructions on how to access the client portal, click here.
Government Agency Assistance - INTAC is always available to assist in responding to IRS, DOL or PBGC inquiries, questionnaires and surveys.
Our Commitment to Your Privacy - INTAC's commitment to your privacy is paramount. To learn more about our policies to maintain the confidentiality and security of your nonpublic personal information, follow this link - Privacy Commitment.
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Consultant's Corner
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Much of what our dedicated INTAC consultants are working on to keep your plans up to speed happens behind the scenes. The INTAC Insider details some of these tasks and other notable highlights that they do. Right now our Gold Star Consultants want you to know:
~ Minimum Distributions - If you have a participant who is planning to but has not yet taken a required minimum distribution (RMD) before the end of the year, please contact us immediately. Please also refer to our email on October 30 which contains all the details you need and the Required Minimum Calculation Form.
~ Required Filings for IRS Forms 1099-R and Form 945 - Participants who have received a distribution from the plan during the year (including direct rollovers) and/or participants who have defaulted on a loan repayment must be issued a 1099-R from the plan. If income taxes have been withheld on distributions, the filing of IRS Form 945 is also required. Form 1099-R is also needed in plans that have life insurance (for reporting the taxable PS-58 cost). These forms will either be provided to you by your recordkeeper or INTAC.
~ Beneficiary Forms - Please remind all your plan participants to review the status of their beneficiary designation forms. If there is no form on file, or if they had any life changing events during the year, they should complete a new beneficiary form.
~ Updating and Maintaining a Fiduciary Bond - Most qualified retirement plans are required under Title IV of ERISA to maintain fidelity bonds for at least 10% of the plan assets (certain plans are required to have larger bonds.) INTAC must maintain the bond information for your plan in our files since this information is reported on the annual tax filing.
~ Client Portal - If at any time you need to obtain forms sent to you or submit data, you may do so via the Client Portal of INTAC's website. For detailed instructions for the Client Portal, follow the blue instruction link. Also as part of INTAC's Gold Star Service to our clients, if you have any questions or require assistance with completing these forms, please contact our office and request to be connected with a pension consultant who can personally walk you through the process as needed.
~ Last but not least, we are always available to help our plan sponsors, brokers and accountants with any pension-related questions you may have. When you call INTAC, you always receive Gold Star Service because you speak with the most knowledgeable staff member related to your plan and/or your question.
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INTAC's 3rd Annual Toy Drive
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Due to the success of our previous toy drives and the smiling faces of very deserving families, Intac Actuarial Services is proud to announce it's 3rd annual initiative to benefit the children of Chai Lifeline. We are now collecting new, unused toys to be given to sick children through this non-profit organization that does everything and anything possible to help children and their families cope with the immediate and long-term impact of serious pediatric illness. Please be aware that because dreadfully vulnerable children will be receiving these gifts, it is crucial that the guidelines below are followed to ensure no risks are posed to their health and safety.
Here's what you need to know:
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Toys must be brand new; unopened; unwrapped.
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Toy drop box is located at INTAC's Ridgewood office.
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Please spread the word and tell a friend!
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Lastly, because the gift of giving does not end with the conclusion of the holiday season, INTAC will be accepting donations until January 7, 2014. When holiday excitement winds down, these children and their families continue to fight grave illness and despair; let's remind them that they will not be forgotten. Please feel free to contact Maggie DiPalma in our office with any questions. Thank you in advance for your help and generosity!
You can learn more about Chai Lifeline by clicking on its logo below.
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INTAC Team Member Spotlight!
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 David Hershkowitz has been a Senior Pension Consultant with INTAC for over three years and has known the Rosenbergs personally since 2001. A true gem to our team, David specializes in defined benefit plans. His positive attitude is contagious and his 25 plus years of industry expertise respected among colleagues, clients and industry partners. As a testament to INTAC's rapid growth over recent years, David wisely describes the firm's philosophy and unsurpassed level of service: "Over the years, we've broadened our scope of the type of pension plans we administer and have introduced more innovative and tailored retirement program designs. This allows employers additional opportunities to benefit from sponsoring a retirement plan(s) by integrating defined benefit and defined contribution plans into a more comprehensive business solution. We view retirement plans not only as a vehicle for retirement savings but as part of a total business strategy in employee recruitment, retention and reward, as well as short term and long term tax planning." David's high regard for INTAC is not limited to "just business", it gets personal too. "As a family-owned business, INTAC treats its employees as part of the family, with a genuine concern for everyone's welfare. That feeling of family is exemplified in the superior standards that INTAC employees set for themselves in providing service to our clients." 
While he focuses much of his time to his valuable work in the office, David also manages to contribute to other important and worthy matters. He holds an elected, non-salaried, position as a Trustee of his local public library and is currently Board of Trustees Vice-President. "Since spare time is a very precious commodity in today's hectic world, as a family we volunteer at a local food bank; and I try to coordinate vacations with my children's school calendars. We like to travel and have driven to many places up and down the East Coast along with the "obligatory" flights to Orlando. Look out Montreal, you're on the list!" (Did we mention that Hershkowitz is our resident comedian too?)
We leave you with a favorite quote (with an introduction from our Spotlight man of the hour). "By nature, I'm an optimist. I also have a bit of a conservative streak which is probably why I went into the fortune telling business aka actuarial consulting. I sum it up as, 'hope for the best but prepare for the worst'."
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Here's a taste of what our clients and industry partners are saying about us!
"Keep up the 'thoughtful' good work. The reason I use the word 'thoughtful' is that in the race to appear relevant and cutting edge, many firms I deal with are rushing on to the next best thing (LinkedIn, Facebook, Instagram and on and on). All of that is important but hard to keep up with from a customer's point of view. INTAC has managed to keep ahead of the curve but has not gone over the edge so to speak! Updates and improvements only work if your client base can keep up with your developments and utilize the tools. INTAC has achieved this in my opinion and should keep up the good work. By the way, Susan McKenna is wonderful, Danielle Aigotti is terrific and Barbara Magarelli just fits the mold for your customer service model. ~ Betsy"
"David (H) - Excellent overview for me as a layman here. ~ Kind regards and thanks. Dr. R..."
"Danielle - I cannot THANK YOU enough for expediting that SO quickly!! ... There is no doubt that running a 'small' business in this business environment is one of the hardest things I have done in my life. The pains we are feeling these days is just horrific...and non-stop. I cannot thank you enough for being as professional and courteous as you were. I knew working with Intac, Inc. was going to be the right move for [our company]. You and many of your co-workers have given me nothing but the best customer service we can possibly ask for!! Thank You again!! ~ Ceil"
"Harry - Heide was very helpful and professional in hand-holding me through the process ~ Abe"
To read more testimonials, visit the testimonials page on our website by clicking here.
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"Feeling gratitude and not expressing it is like wrapping a present and not giving it." - William Arthur Ward, American Writer
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Intac Actuarial Services has been providing complete administration and consulting to employer-sponsored retirement plans since 1977. INTAC's professional staff of experienced and innovative plan administrators designs, creates and continually refines a wide range of qualified retirement plans. We are committed to meeting our clients' needs by providing these services in a timely, accurate and cost-effective manner. INTAC has been ranked as New Jersey's #1 401(k)/Defined Contribution Provider by NJBIZ� for five consecutive years.
For additional information on the contents of this newsletter and other important topics, please contact us or visit our website at www.intacinc.com. It is our privilege to be of service to you!
Sincerely,
Intac Actuarial Services, Inc.
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Corporate Office: 545 Route 17 South | Ridgewood, NJ 07450 | 201.447.2525
Branch Offices: West Long Branch, NJ | Huntington Beach, CA | 1.800.548.4410
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