5500 E-file: Final Return/Report

If all assets under the plan (including insurance/annuity contracts) have been distributed to the participants and beneficiaries or legally transferred to the control of another plan, and when all liabilities for which benefits may be paid under a welfare benefit plan have been satisfied, check the final return/report box in Part I, line B at the top of the Form 5500.

A short plan year filing may also be needed when the plan ceases to have any assets and liabilities prior to the close of the normal 12-month plan year.

The mere termination of a plan does not end the filing requirement.

If a trustee is appointed for a terminated defined benefit plan pursuant to ERISA §4042 (i.e., the PBGC has taken over the plan in an involuntary termination), the last plan year for which a return/report must be filed is the year in which the trustee is appointed.

Examples

Mergers/Consolidations

A final return/report should be filed for the plan year (12 months or less) that ends when all plan assets were legally transferred to the control of another plan.

Pension and Welfare Plans That Terminated Without Distributing All Assets

If the plan was terminated, but all plan assets were not distributed, a return/report must be filed for each year the plan has assets. The return/report must be filed by the plan administrator, if designated, or by the person or persons who actually control the plan's assets/property.

Welfare Plans Still Liable to Pay Benefits

A welfare plan cannot file a final return/report if the plan is still liable to pay benefits for claims that were incurred prior to the termination date, but not yet paid. See 29 CFR 2520.104b-2(g)(2)(ii).

For more information on Final Year return filing requirements please contact Department of Labor, EFAST2 Help Line at 1-866-463-3278.

E-file/5500_ef_final_year_2.htm/TY2020

Last Modified: 08/06/2019

Last System Build: 09/13/2021