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Form 5305-A-SEP online Fort Wayne Indiana: What You Should Know
Please note: We were asked to update the following reference to the form 5305A and also to correct the spelling for Form 5305. Employer Eligibility It is the policy of Hooligan to provide reasonable compensation, including benefits and opportunities, to its employees. This includes salary reduction benefits to ensure that no employee is financially disadvantaged. Payment of salary reduction In accordance with the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERICA) (the “ERICA”), Hooligan will satisfy the requirements of the SEP contributions by including, where appropriate, a written statement in the SEP contract. The statement shall set forth a list of salary reduction opportunities within the year. To determine which salary reduction opportunities within the year the company will choose, Hooligan will evaluate the employer's total contributions, which may include both discretionary and mandatory contributions. The actual amount of salary reduction benefits under the SEP contract may change as a result of the company's overall contributions, although it generally remains in the range of 5 -10% of the average annual salary for the SEP contract. Filing and Reporting This form is prepared under the authority of the Internal Revenue Code and Regulations. For more information, please refer to Publication 560, Business Entities. Employee Contributions to or prior to the first day of each quarter, the following amounts may be paid directly to SRA: (1) Required contributions by the employer: Required contributions required by the plan may be paid in cash, in accordance with § 401(k) — 403(b). These contributions must be paid within six months after the last day of the preceding calendar quarter. The employer's payment may not be less than 20% of the compensation and, under certain conditions, more than 30% of the compensation. (2) Required contributions by the employee: Employer contributions (including mandatory and discretionary contributions) required by the plan may be paid in cash (and required to be paid no later than six months after the pay period at which the payment is due). If mandatory and discretionary contributions are paid in cash, the employer must pay the required amount within the same pay period as the payment. If payments are made in a lump sum (for example, for a period of five calendar days and no other payment in the period), the employer must, within six months, pay the required amount no later than 6 months from the date of payment (if not later).
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