As the holiday season approaches, many businesses find themselves juggling year-end tasks while preparing for the festive rush. One thing that should never be left off your plate? Benefits compliance. From Form 5500 filings to ERISA requirements, staying ahead of compliance deadlines can save you from penalties and unnecessary stress as 2025 approaches.
Here’s your guide to tackling compliance now so your holidays can be filled with joy instead of headaches.
Why Year-End Compliance Matters
Compliance isn’t just a box to check—it’s a critical part of running a smooth business. Waiting until the last minute to address compliance tasks can lead to costly consequences.
Avoiding Penalties and Audits
Missing Form 5500 deadlines or submitting inaccurate information can result in hefty penalties. The Department of Labor (DOL) is always on the lookout for non-compliance, and year-end filings are no exception. A simple oversight could lead to audits that disrupt your operations and cost your business time and money.
Staying Ahead of 2025 Changes
While 2024 brought its share of updates, 2025 may introduce even more regulatory changes. Proactively preparing your benefits plan now ensures you won’t be caught off guard when the new year begins.
Key Compliance Tasks to Complete Before Year-End
Before diving into holiday celebrations, ensure these critical tasks are checked off your compliance checklist.
Review Your Form 5500 Filings
Form 5500 compliance is a cornerstone of benefits administration. Double-check that all filings are accurate, submitted on time, and include all required information. Common mistakes, like incorrect participant counts or incomplete schedules, can trigger red flags with the IRS or DOL.
Audit Your Benefits Plan
Conduct a year-end review of your benefits plan to ensure it complies with ERISA and other applicable regulations. Look for outdated plan documents or discrepancies between what’s offered and documented. Updating your plan now can prevent compliance issues in 2025.
Plan for Employee Communication
Your employees are the heart of your benefits program. Take time to communicate any changes for the upcoming year and answer their questions about enrollment, plan updates, or new benefits.
How to Make Compliance Stress-Free
Compliance doesn’t have to feel overwhelming. You can tackle these tasks efficiently with a little preparation and the right support.
Create a Compliance Checklist
Breaking your compliance tasks into smaller, manageable steps can help you stay organized. Start with critical deadlines like Form 5500 filings and work through secondary tasks like plan audits and employee communications.
Seek Expert Guidance With Us
Benefits compliance can be complex, but you don’t have to navigate it alone. Working with a partner like BC2 ensures your compliance efforts are thorough and efficient. Our team specializes in Form 5500 compliance and ERISA regulations, helping businesses stay ahead of deadlines and avoid penalties.
Leverage Year-End Resources
Use online tools and resources to simplify compliance. From compliance management software to expert advice, leveraging these resources can save you time and stress.
Start 2025 With Confidence
The holidays should be a time to relax and celebrate—not worry about compliance mistakes. By tackling your compliance tasks now, you can enjoy peace of mind knowing your business is prepared for the year ahead. Whether it’s reviewing Form 5500 filings, updating benefits plans, or ensuring employee communications are clear, proactive planning makes all the difference.
At BC2, we’re here to make compliance stress-free and manageable. Contact us today to learn how we can help your business start 2025 with confidence.
