Good news! We have received formal IRS approval of our new 403(b) prototype plan document. Previously, 403(b) plans had not been reviewed or approved by the IRS. Now our 403(b) prototype plan is approved for tax-exempt organizations. The new 403(b) prototype plan is in addition to our 401(k) and profit sharing prototype plan documents. We are currently awaiting IRS approval of a defined benefit pension prototype plan document. We provide prototype plans as a convenience to our clients and to assure them that the plan is always updated. Employers can change recordkeepers without changing the plan document which sometimes causes mistakes. We are very excited to be able to restate 403(b) plans on our prototype plan with advance assurance from the IRS. Please let us know if you have any questions or interest in utilizing our prototype plans.
Insights & Opinions from McGrath North