| Compliance Services Annual Report Package. To the extent we have all the necessary information, we provide a 5500 annual report package, including a signature-ready 5500 form for your review and submission to the IRS. Also provided in this report package are all forms, attachments and instructions. For those plans subject to audit, a plan folder containing the information needed by your auditor is also included. IRS Compliance Tests. For plans maintained by our representative, we offer the following testing services and the necessary consultation services to maintain the qualified status of your plan: Coverage Test 410(b). Your plan must not permit large disparities in coverage percentages of highly and non-highly compensated employees. Any necessary corrections are made to comply with IRS rules. We perform the ratio percentage test when your plan is established and at the end of each plan year. General Nondiscrimination Test 401(a)(4). We examine your plan for compliance with the general nondiscrimination requirements of the IRS. Contribution Tests 401(k) and 401(m). Contributions must not be made in amounts that discriminate in favor of highly compensated employees. During the first year we perform an interim test and a plan year-end test. Thereafter, these tests are completed at the end of each plan year. However, at your request, we also can perform interim tests during a plan year. Top-Heavy Test 416. A top-heavy determination is made each year. Annual Additions 415. Each year, a calculation is performed for each participant to examine his or her annual addition limitations under the plan. 404(c) Compliance. If the intent is to have the plan comply with ERISA Section 404(c), we design and draft your plan to comply. We also provide disclosure materials for you and your plan participants. Please note: All the tests completed by us are based on information provided by your plan sponsors and the calculations depend on accurate information. | 
