Annual Information Return/Report

APPENDIX E – OTHER PROPOSED CHANGES TO 2022 FORM 5500, FORM 5500-SF, FORM 5500-EZ, SCHEDULES and INSTRUCTIONS

1. Proposed Changes to Instructions to 2022 Form 5500 and Form 5500-SF for Part I, “Multiple Employer Plan Checkbox.”

• Instructions for 2022 Form 5500. The instructions for Part I, Line A - “Box for Multiple-Employer Plan” would be modified as follows:

• Second paragraph - Delete the phrase “multiple-employer pension plans” and add the phrase “and not required to file a Form M-1 (Report for Multiple Employer Welfare Arrangements (MEWAs) and Certain Entities Claiming Exception (ECEs)), for example, multiple-employer welfare plans providing life or disability benefits,” after the phrase “multiple-employer welfare plans required to file a Form 5500.”

• Third paragraph – Delete the phrase “Multiple-Employer Plan Participating Employer Information” and replace with the phrase “Participating Employer Information for Multiple-Employer Welfare Plan Not Providing Medical Benefits.”

  Replacing the current graphic in the Form 5500 for Part I, Line A “Box for Multiple-Employer Plan” entitled “Multiple-Employer Plan Participating Employer Information,” with the following1: Participating Employer Information for Multiple-Employer Welfare Plan Not Providing Medical Benefits (Insert Name of Plan and EIN/PN as shown on the Form 5500)
  1. Name of participating employer	2. EIN	3. Percent of Total Contributions for the Plan Year
  1. Name of participating employer	2. EIN	3. Percent of Total Contributions for the Plan Year

• Add the following “Note” paragraph after the graphic.

Note. Do not report the participating employer information as an attachment for multiple-employer pension plans or multiple-employer welfare plans offering or providing medical benefits. Multiple-employer pension plans report the participating employer information on Schedule MEP. Multiple-employer welfare plans that offer or provide medical benefits report the participating employer information on Form M-1 (Report for Multiple Employer Welfare Arrangements (MEWAs) and Certain Entities Claiming Exception (ECEs)).

• The accompanying instructions for the “Box for Multiple-Employer Plan” on the 2021 Form 5500-SF at Part I, line A, Annual Report Identification Information would be revised to read the same as the instructions for the 2022 Form 5500 described above, except all references to “Form 5500” would be changed to “Form 5500-SF.”

2. Proposed Changes to 2022 Schedule H and Instructions to Standardize Data Collection For Schedule H, Line 4i Schedules of Assets

• Instructions for Schedule H. Instructions for Part IV, line 4i of the 2022 Schedule H would be modified to read as follows:

Line 4i. Schedules of Assets. Check “Yes” in elements (1) and/or (2) and complete, as appropriate, the “line 4i(1) Schedule of Assets Held for Investment at End of Year” and the “line 4i(2) Schedule of Assets Acquired and Disposed of During the Plan Year.” You may not create your own schedules of assets in the form of an attachment or otherwise. You must complete the schedule through IFile or using EFAST-approved third-party software. If the plan both disposed of assets during the plan year and held assets for investment at end of year, you must complete both the lines 4i(1) and 4i(2) schedules. Generally, plans that are ongoing must answer “Yes” to line 4i(1) and complete the “line 4i(1) Schedule of Assets Held for Investment at End of Year.”

Notes: (1) Participant loans under an individual account plan with investment experience segregated for each account, that are made in accordance with 29 CFR 2550.408b-1 and that are secured solely by a portion of the participant’s vested accrued benefit, may be aggregated for reporting purposes in line 4i. Under identity of borrower enter “Participant loans,” under rate of interest enter the lowest rate and the highest rate charged during the plan year (e.g., 8%–10%), under the cost and proceeds columns enter zero, and under current value enter the total amount of these loans. (2) Column (d) cost information for the line 4i(1) Schedule of Assets Held for Investment at End of Year and the column (c) cost of acquisitions information for the line 4i(2) Schedule of Assets Disposed of During the Plan Year may be omitted when reporting investments of an individual account plan that a participant or beneficiary directed with respect to assets allocated to his or her account (including a negative election authorized under the terms of the plan). Likewise, cost information for investments in Code sections 403(b)(1) annuity contracts and Code section 403(b)(7) custodial accounts may also be omitted. (3) Investments in Code section 403(b)(1) annuity contracts and Code section 403(b)(7) custodial accounts generally may also be treated as one asset held for investment for purposes on the line 4i schedules. For Code section 403(b)(7) accounts, show the corresponding line 1b(5)(A) categories to show the types of investment accounts.

Line 4i(1). Schedule of Assets Held for Investment at End of Year. Assets held for investment purposes for purposes of the line 4i(1) Schedule of Assets Held for Investment at End of Year include all investment assets held by the plan on the last day of the plan year other than cash and cash equivalents reported on Schedule H, line 1a. You must complete the Schedule of Assets Held for Investment at End of Year if you answered “Yes” to line 4(i)(1).

Complete as many entries in each element as needed to identify all assets held for investment at end of year. Although a format is shown in the instructions for informational purposes, you cannot create your own schedules of assets, but must complete the schedules through IFile or using EFAST-approved third-party software.

Schedule H, Line 4i(1) Schedule of Assets Held for Investment
a Check if issuer, borrower, lessor or similar party is a party-in-interest []	b Name of issuer, borrower, lessor, or similar party	c Check if asset is hard-to-value asset []	d CUSIP, CIK, LEI, NAIC Company Code, other registration number:	e Cost
f(1) Indicate Sch. H, line 1b asset category. (2) [] Check here if entry in f(1) is held through a CCT or PSA that did not file a Form 5500. (3) [] Check here if the asset is a designated investment alternative in a defined contribution plan (4) [] Check here if the asset is a qualified default investment alternative in a defined contribution plan (5)[] Check here if the asset is held in a participant-directed brokerage account that is required to be broken out and separately reported (see instructions for reporting assets held through a participant-directed brokerage account)	g Description of investment, including, as applicable share class, maturity date, rate of interest, par or maturity value, including whether asset/investment is subject to surrender charge. See instructions for reporting assets held through a participant-directed brokerage account.	h Current value	i. If a checkbox for f(3) or f(4) is checked, enter the total annual operating expenses for the designated investment alternative expressed as a percentage of assets that was furnished to participants and beneficiaries in their most recent “404a-5 statement.

For each asset held directly by the plan or investing filing entity, complete elements (a)-(i).

Participant-directed brokerage account assets reported in the aggregate on line 1c(15) generally may be treated as one asset held for investment for purposes here, except investments in tangible personal property, loans, partnership or joint venture interests, real property, employer securities, and investments that could result in a loss in excess of the account balance of the participant or beneficiary who directed the transaction must be reported as separate aggregations of assets on line 4i(1), with an indication of which of the line 1c breakouts on which that the asset was reported in the balance sheet.

Element (a). Check the box in element a if the issuer of the investment is a person known to be a party-in-interest to the plan. This includes when the seller, issuer, lender, or similar party is the employer, employee organization, a service provider to the plan, or other party interest, including a subcontractor or affiliate.

Element (b). Enter the name of the seller, issuer, lender, or similar party. If the person is a plan sponsor, service provider, or DFE also identified on the Form 5500, Schedule C or any other of the Schedule H line 4 schedules, or is a DFE that files its own Form 5500, use the same name in all places.

Element (c). Check here if the asset is a “hard-to-value” asset. Assets that are not listed on any national exchanges or over-the-counter markets, or for which quoted market prices are not available from sources such as financial publications, the exchanges, or the National Association of Securities Dealers Automated Quotations System (NASDAQ), are required to be identified as hard-to-value assets on the Schedule of Assets Held for Investment at End of Year. Bank collective investment funds or insurance company pooled separate accounts that are primarily invested in assets that are listed on national exchanges or over-the-counter markets and are valued at least annually need not be identified as hard-to-value assets. CCTs or PSAs invested primarily in hard-to-value assets must also be identified as a hard-to-value asset. A non-exhaustive list of examples of assets that would be required to be identified as hard-to-value on the proposed schedules of assets is: non-publicly traded securities, real estate, private equity funds; hedge funds; and real estate investment trusts (REITs). Check this box for all assets designated as “level 3” in the accompanying IQPA report.

Element (d). If the person is a plan sponsor, service provider, or direct filing entity also identified on the Form 5500, Schedule C, or Schedule D, or any other of the Schedule H line 4 schedules, or is a DFE that files its own Form 5500, use the same identification numbers in all places. If the person identified in element c, has a CUSIP, CIK number, LEI, NAIC Company Code, or other government or market exchange registration or identity number, you must include all that apply here.

Element (e). Enter the acquisition cost of the asset.

Element (f). Enter in element f(1) which category the asset was part of the total on line 1b and check all applicable boxes.

Element (g). Enter a description of the investment, including, as applicable maturity date, rate of interest, par, or maturity value, including whether asset/investment is subject to surrender charge. Include any restriction on transferability of corporate securities. (Include lending of securities permitted under Prohibited Transactions Exemption 81-6.)

Element (h). Enter current value. For purposes of the Form 5500, “current value” means fair market value where available. Otherwise, it means the fair value as determined in good faith under the terms of the plan by a trustee or a named fiduciary, assuming an orderly liquidation at time of the determination. See ERISA section 3(26).

Element i. If the checkbox for element f(3) or f(4) is checked, enter the total annual operating expenses for the designated investment alternative expressed as a percentage of assets that was furnished to participants and beneficiaries in their most recent 404a-5 statement.

Line 4i(2) Assets Acquired and Disposed of During Plan Year. Complete as many entries in each element as needed to identify all acquired and disposed of during the year.

Although the format is shown in the instructions for informational purposes, you cannot create your own schedules of assets, but must complete the schedules through IFile or using EFAST-approved third-party software.

You must identify on the line 4i(2) Schedule each investment asset sold during the plan year except:

1. Debt obligations of the U.S. or any U.S. agency.

2. Interests issued by a company registered under the Investment Company Act of 1940 (e.g., a mutual fund).

3. Bank certificates of deposit with a maturity of one year or less.

4. Commercial paper with a maturity of 9 months or less if it is valued in the highest rating category by at least two nationally recognized statistical rating services and is issued by a company required to file reports with the Securities and Exchange Commission under section 13 of the Securities Exchange Act of 1934.

5. Participations in a bank common or collective trust.

6. Participations in an insurance company pooled separate account.

7. Securities purchased from a broker-dealer registered under the Securities Exchange Act of 1934 and either: (1) listed on a national securities exchange and registered under section 6 of the Securities Exchange Act of 1934 or (2) quoted on NASDAQ.

Assets acquired and disposed of during the plan year shall not include any investment that was not held by the plan on the last day of the plan year if that investment is reported in the annual report for that plan year in any of the following:

1. The schedule of loans or fixed income obligations in default required by Schedule G, Part I;

2. The schedule of leases in default or classified as uncollectible required by Schedule G, Part II;

3. The schedule of nonexempt transactions required by Schedule G, Part III; or

4. The schedule of reportable transactions required by Schedule H, line 4j.

You must complete the “Schedule of Assets Acquired and Disposed of During the Plan Year” if you answered “Yes” to line 4(i)(2).

Schedule H, Line 4i(2) Schedule of Assets Acquired and Disposed of During the Plan Year
a Check if issuer, borrower, lessor or similar party is party-in-interest []	b Name of issuer, borrower, lessor, or similar party	c Check if asset is hard-to-value asset	d EIN, CUSIP, CIK, LEI, NAIC Company Code, other registration number:	e Indicate Sch. H, line 1c asset category.
f Cost	g Sales price	h Total expenses incurred with disposal of asset, including any termination or surrender charges	i Net gain/loss	j Description of investment, including, as applicable share class, maturity date, rate of interest, par or maturity value, including whether asset/investment is subject to surrender charge. See instructions for reporting assets held through a participant-directed brokerage account

Element (a). Indicate in element (a) whether the seller, issuer, lender, or similar party is the employer, employee organization, or other party interest, including a subcontractor or affiliate.

Element (b). Enter the name of the seller, issuer, lender, or similar party. If the person is a plan sponsor, service provider, or direct filing entity also identified on the Form 5500, Schedule C, or Schedule D, or any other of the Schedule H line 4 schedules, use the same name in all places. If the asset was held through a master trust, 103-12 IE, CCT, or PSA provide the name, EIN and PN of the entity. For DFEs use the same identifying information used on the entity’s own Form 5500.

Element (c). Check here if the asset is a “hard-to-value” asset. Check this box for all assets designated as “level 3” in the accompanying IQPA report.

Element (d). In element (d) enter the EIN of issuer, borrower, lessor, similar party. If the person is a plan sponsor, service provider, or direct filing entity also identified on the Form 5500, Schedule C, or Schedule D, or any other of the Schedule H, line 4 schedules, use the same name in all places. Also enter, separated by commas, if applicable, the CUSIP, CIK, LEI, NAIC Company Code, or other registration number.

Element (e). Enter in element (e) in which category the asset was part of the total on line 1(b).

Element (f). Enter the acquisition cost here.

Element (g). Enter the sale price.

Element (h). Enter the total expenses incurred with disposal of asset, including any termination or surrender charges.

Element (i). Enter the net gain (loss) on the asset.

Element (j). Enter a description of the investment, including maturity date, rate of interest, collateral, par, or maturity value.

3. Proposed Changes to Form 5500, Form 5500-SF and Instructions on counting participants for determining small plan filing status for defined contribution plans

• Instructions to 2022 Form 5500. Instructions to Section 4, “What to File” section of the 2022 Form 5500 would be modified to delete the paragraph above the “Exceptions” section and replace with the following paragraph:

To determine whether a plan is a “small plan” or “large plan,” for defined benefit pension plans and welfare plans, use the number reported on Form 5500, line 5. Defined contribution pension plans use the number reported on the Form 5500 line 6g(1), except use the number reported on the Form 5500 line 6g(2) for defined contribution pension plans that check the “first return/report box on Part I, line B.

• Instructions to 2022 Form 5500. Instructions to “80-120 Participant Rule” paragraph in Section 4, “What to File,” “Exceptions” section of the 2022 Form 5500 would be modified by deleting the phrase “on line 5” in the first sentence and deleting the phrase “line 5 of the” in the second sentence.

• Instructions to 2022 Form 5500. Instructions to “Short Plan Year Rule” paragraph in Section 4, “What to File,” “Exceptions” section of the 2022 Form 5500 would be modified by amending the last sentence to eliminate the reference at the end to Line 5:

1. Short Plan Year Rule: ***

If such an election was made for the prior plan year, the 2022 Form 5500 must be completed following the requirements for a large plan, including the attachment of the Schedule H and the accountant’s reports, regardless of the number of participants entered in Part II.

• 2022 Form 5500. Line 6 of Part II of 2022 Form 5500 would be modified by amending line 6, renumbering 6g as line 6g(2) and adding line 6g(1), to read as follow:

  6. Number of participants (welfare plans complete only Lines 6a(1), 6(a)(2), 6b, 7c, 7d, and 7g(3)).
  g(1) Number of participants with account balances as of the beginning of the plan year (only defined contribution plans complete this item).......................................................	6g(1)
  g(2) Number of participants with account balances as of the end of the plan year (only defined contribution plans complete this item)……………………………………………………..………	6g(2)

• Instructions to 2022 Form 5500. Instructions to line 6g of Part II of 2022 Form 5500 would be modified to read as follows:

Line 6. Number of participants (welfare plans complete only Lines 6a(1), 6(a)(2), 6b, 7c, 7d, and 7g(3)).

Line 6g. Enter in Line 6g(1) the number of participants who have account balances at the beginning of the plan year. Enter in Line 6g(2) the number of participants included on line 6f (total participants at the end of the plan year) who have account balances at the end of the plan year. For example, for a Code section 401(k) plan the number entered on line 6g should be the number of participants counted on line 6f who have made a contribution, or for whom a contribution has been made to the plan for this plan year or any prior plan year. Welfare benefit plans and defined benefit plans should leave line 6g blank.

• Instructions to 2022 Form 5500-SF. Instructions to “Who May File” section of the 2022 Form 5500-SF would be modified by amending paragraph (1) to read as follows.

1. The plan (a) covered fewer than 100 participants at the beginning of the plan year 2022, or (b) under 29 CFR 2520.103-1(d) was eligible to and filed as a small plan for plan year 2022 and did not cover more than 120 participants at the beginning of plan year 2020. To determine whether a plan is eligible, for defined benefit pension plans and welfare plans, use the number reported on Form 5500-SF line 5a. Defined contribution pension plans use the number reported on the Form 5500-SF line 5c(1), except use the number reported on the Form 5500-SF line 5c(2) for defined contribution pension plans that check the “first return/report box on Part I, line B;

• 2022 Form 5500-SF. Line 5c of Part II of 2022 Form 5500-SF will be renumbered as line 5c(2) and line 5c(1) would be added to read as follow:

c(1) Number of participants with account balances as of the beginning of the plan year (only defined contribution plans complete this item).........................................	5c(1)
c(2) Number of participants with account balances as of the end of the plan year (only defined contribution plans complete this item)……………………………………………………………	5c(2)

• Instructions to 2022 Form 5500-SF. Instruction to second sentence of line 5 of Part II of 2022 Form 5500-SF will be deleted and replaced with the following two sentences as follows.

Line 5. ***

Enter in element (c)(1) the number of participants who have account balances with account balances as of the beginning of the plan year. Enter in element (c)(2) the number of participants included on line 5b (total participants at the end of the plan year) who have account balances at the end of the plan year.

• Instructions to 2022 Form 5500-SF. Instruction to line 6 of Part II of 2022 Form 5500-SF would be modified by amending paragraph (1) to read as follows:

1. The plan (a) covered fewer than 100 participants at the beginning of the plan year 2022, or (b) under 29 CFR 2520.103-1(d) was eligible to and filed as a small plan for plan year 2019 and did not cover more than 120 participants at the beginning of plan year 2020 (see instructions for Who May File Form 5500-SF on counting the number of participants to determine whether a plan is eligible);

4. Proposed Changes to 2022 Schedule MB, Schedule SB and Schedule R, and their Instructions to Improve PBGC Reporting.

• Instructions to 2022 Schedule MB. Instructions for line 3 of the 2022 Schedule MB would be modified to read as follows:

Line 3. Contributions Made to Plan. Show all employer and employee contributions for the plan year. Include employer contributions made not later than 2½ months (or the later date allowed under Code section 431(c)(8) and ERISA section 304(c)(8)) after the end of the plan year. Show only contributions actually made to the plan by the date this Schedule MB is signed.

Add the amounts in both columns (b) and (c) and enter both results on the total line. All contributions must be credited toward a particular plan year.

If any of the contributions reported in line 3 include amounts owed for withdrawal liability, report in line 3(d) the total withdrawal liability amounts included. Attach a list showing the date and amount of each withdrawal liability amount included, broken down between periodic amounts and lump sum amounts. Label this attachment “Schedule MB, Line 3(d) – Withdrawal Liability Amounts”.

Schedule MB Line 3(d) – Withdrawal Liability Amounts
Payment Date	Periodic Amounts	Lump Sum Amounts	Total Amounts

• 2022 Schedule MB. Line 4f of the 2022 Schedule MB would be modified to read as follows:

  f

  If the plan is in critical status or critical and declining status, and is: Projected to emerge from critical status within 30 years, enter the plan year in which it is projected to emerge; Projected to become insolvent within 30 years, enter the plan year in which insolvency is expected and check here ……………………………….….. Neither projected to emerge from critical status nor become insolvent within 30 years, enter “9999.”

  4f

• Instructions to 2022 Schedule MB. Instructions for line 4f of the 2022 Schedule MB would be modified to read as follows:

Line 4f. If Code C (Critical Status) or Code D (Critical and Declining Status) was entered on line 4b you must complete line 4f as follows:

If, based on the most recent actuarial certification for the plan year and the most recently adopted rehabilitation plan, the plan is:

• Projected to emerge from critical status within 30 years, enter the plan year in which the plan is projected to emerge from critical status.

• Projected to become insolvent within 30 years, check the box provided, enter the plan year in which the insolvency is expected. In addition, attach an illustration showing year-by-year cash flow projections for the period ending with the year the plan is projected to become insolvent (or the 20th year after the valuation year if earlier) and a summary of the assumptions underlying the projections. Label this attachment “Schedule MB, Line 4f – Cash Flow Projections”.

• Neither projected to emerge from critical status nor become insolvent within 30 years, enter “9999.” In addition, attach an illustration showing year-by-year cash flow projections ending with the 20th year after the valuation year and a summary of the assumptions underlying the projections. Label this attachment “Schedule MB, Line 4f – Cash Flow Projections”.

• 2022 Schedule MB. Lines 6e and 6f would be modified and line 6i would be added to the 2022 Schedule MB, to read as follows:

6 Checklist of actuarial assumptions
a Interest rate for ‘RPA 94 current liability					6a
		Pre-retirement		Post-retirement
b Rates specified in insurance or annuity contracts		Yes No N/A		Yes No N/A
c Mortality table code for valuation purposes:
Males	6c(1)
Females	6c(2)
d Valuation liability interest rate	6d	%		%
e Salary scale	6e	%	N/A
f Withdrawal liability interest rate	6f	%	N/A
g Estimated investment return on actuarial value of assets for year ending on the valuation date					6g	%
h Estimated investment return on market value of assets for year ending on the valuation date					6h	%
i Expense loading included in normal cost reported in line 9b						N/A
If expense load is described as a percentage of normal cost, enter the assumed percentage					6i(1)	%
If expense load is dollar amount that varies from year to year, enter dollar amount included in line 9b					6i(2)
If neither (1) nor (2) describes the expense load, check the box					6i(3)

• Instructions to 2022 Schedule MB. Instructions for lines 6e and 6f would be modified and for line 6i would be added to the 2022 Schedule MB, to read as follows:

Line 6e. Salary Scale. If a uniform level annual rate of salary increase is used, enter that annual rate. Otherwise, enter the level annual rate of salary increase that is equivalent to the rate(s) of salary increase used. Enter the annual rate as a percentage to the nearest .01 percent, used for a participant from age 25 to assumed retirement age. If the plan’s benefit formula is not related to compensation, check the “N/A” box.

Line 6f. Withdrawal Liability Interest Rate.  If any employer withdrew from the plan during the plan year, enter the interest rate used to determine the present value of vested benefits for withdrawal liability determinations.  If multiple interest rates were used (e.g., select and ultimate rates under ERISA 4044 or blended liabilities reflecting different interest rate structures), report the single equivalent interest rate that produces the same present value of vested benefits for withdrawal liability determinations. 

If different interest rates were used for different employers that withdrew during the plan year, report the weighted average interest rate used for this purpose (weighted by the applicable withdrawal liability amount). If no employers withdrew from the plan during the plan year, check “N/A”.

Line 6i. Expense Loading Included in Normal Cost. If the normal cost reported in line 9b does not include a load for administrative or investment expenses, check the "N/A" box. Otherwise, provide information in lines 6i(1), 6i(2), or 6i(3), whichever is applicable, about the expense load included in the normal cost. If the expense load is described as a percentage of normal cost, the reported percentage in line 6i(1) should be the expense load as a percent of the unloaded normal cost. For example, if the expense load is 5% of the normal cost, the unloaded normal cost is $100,000 and the reported normal cost is $105,000, enter 5%, not 4.8% (i.e., $5,000/$105,000). Enter rates to the nearest 0.1 percent.

• 2022 Schedule MB. The title for line 8b would be modified and new lines 8b(3) and 8b(4) would be added to the 2022 Schedule MB to read as follows:

8 Miscellaneous Information
a If a waiver of a funding deficiency has been approved for this plan year, enter the date (MM-DD-YYYY) of the ruling letter granting the approval		8a
b Demographic, benefit, and contribution information
(1) Is the plan required to provide a projection of expected benefit payments? (See the instructions.) If “Yes,” attach a schedule			☐ Yes ☐ No
(2) Is the plan required to provide a Schedule of Active Participant Data? (See the instructions.)			☐ Yes ☐ No
(3) Is the plan required to provide a projection of employer contributions and withdrawal liability payments? (See instructions.) If “Yes,” attach a schedule			☐ Yes ☐ No
(4) If line 8b(1) is “Yes”, enter the average age and average monthly benefits, as of the valuation date separately for terminated vested participants and retired participants and beneficiaries receiving payments	(1) Terminated Vested Participants		(2) Retired Participants and Beneficiaries Receiving Payments
(a)  Average age as of the valuation date
(b)  Average monthly benefit as of valuation date

• Instructions to 2022 Schedule MB. Instructions for lines 8b(1) and 8b(2) would be modified and instructions for lines 8b(3) and 8b(4) would be added to the 2022 Schedule MB, to read as follows:

Line 8b(1). Schedule of Projection of Expected Benefit Payments. Check “Yes” only if this is a multiemployer plan covered by Title IV of ERISA that has 500 or more total participants as of the beginning of the plan year (i.e., reported on line 2b(3)(c), column (1)).

If line 8b(1) is “Yes,” in an attachment, provide a projection of benefits expected to be paid separately for active participants, terminated vested participants, and retired participants and beneficiaries receiving payments, and for the entire plan (not to include expected expenses) in each of the next fifty years starting with the current plan year of this filing assuming (1) no additional accruals, (2) experience (e.g., termination, mortality, and retirement) are in line with valuation assumptions, (3) no new entrants are covered by the plan, and (4) benefits are paid in the form assumed for valuation purposes. Use the format shown below. The attachment may be provided in a spreadsheet file. Label this attachment “Schedule MB, Line 8b(1) – Schedule of Projection of Expected Benefit Payments”.

Schedule MB, Line 8b(1) - Schedule of Projection of Expected Benefit Payments
	Expected Annual Benefit Payments
Plan Year	Active Participants	Terminated Vested Participants	Retired Participants and Beneficiaries Receiving Payments	Total
Current Plan Year
Current Plan Year + 1
Etc.
Current plan year + 49

Line 8b(2). Schedule of Active Participant Data. Check “Yes” only if this is a multiemployer plan covered by Title IV of ERISA that has active participants.

If line 8b(2) is “Yes,” attach a schedule of the active plan participant data used in the valuation for this plan year. The attachment may be provided in a spreadsheet file. Use the format shown below and label the attachment “Schedule MB, Line 8b(2) – Schedule of Active Participant Data”.

Schedule MB, Line 8b(2) – Schedule of Active Participant Data

Attained Age

YEARS OF CREDITED SERVICE

Under 1

1 to 4

5 to 9

40 & up

Average

Average

Average

Average

No

Comp.

Accrued Mon Ben

No

Comp.

Accrued Mon Ben

No

Comp.

Accrued Mon Ben

No

Comp.

Accrued Mon Ben

Under 25

25 to 29

30 to 34

35 to 39

40 to 44

45 to 49

50 to 54

55 to 59

60 to 64

65 to 69

70 & up

Expand this schedule by adding columns after the “5 to 9” column and before the “40 & up” column for active participants with total years of credited service in the following ranges: 10 to 14; 15 to 19; 20 to 24; 25 to 29; 30 to 34; and 35 to 39. For each column, enter the number of active participants with the specified number of years of credited service divided according to age group. For participants with partial years of credited service, truncate the total number of years credited. Years of credited service are the years credited under the plan’s benefit formula.

Plans reporting 1,000 or more active participants on line 2b(3)(c), column (1), and using compensation to determine benefits must also provide average compensation data. For each grouping, enter the average compensation of the active participants in that group. For this purpose, compensation is the compensation taken into account for each participant under the plan’s benefit formula, limited to the amount defined under section 401(a)(17) of the Code. Do not enter the average compensation in any grouping that contains fewer than 20 participants.

Plans reporting 1,000 or more active participants on line 2b(3)(c), column (1), must also provide average accrued monthly benefits, as of the valuation date, that are payable at normal retirement age. For each grouping, enter the average accrued monthly benefit that is payable at normal retirement age for the active participants in that group. Do not enter the average accrued monthly benefit in any grouping that contains fewer than 20 participants.

General Rule. In general, data to be shown in each age/service bin includes:

1. the number of active participants in the age/service bin,

2. the average compensation of the active participants in the age/service bin, and

3. the average accrued monthly benefit of the active participants in the age/service bin, using $0 for anyone who has no accrued monthly benefit.

In general, information should be determined as of the valuation date. Average accrued monthly benefits may be determined as of either:

1. the valuation date or

2. the day immediately preceding the valuation date.

Line 8b(3). Schedule of Projection of Employer Contributions and Withdrawal Liability Payments. Check “Yes” only if this is a multiemployer plan covered by Title IV of ERISA that has 500 or more total participants as of the beginning of the plan year (i.e., reported on line 2b(3)(c), column (1)). If line 8b(3) is “Yes,” in an attachment, separately provide a projection of employer contributions and withdrawal liability payments expected to be received for the entire plan in each of the next ten years starting with the current plan year of this filing based on the assumptions used for to determine the plan’s status under line 4b. Use the format shown below and label the schedule “Schedule MB, Line 8b(3) – Schedule of Projection of Employer Contributions and Withdrawal Liability Payments”.

Schedule MB, Line 8b(3) – Schedule of Projection of Employer Contributions and Withdrawal Liability Payments
Plan Year	Employer Contributions	Withdrawal Liability Payments	Total
Current Plan Year
Current Plan Year + 1
Etc.
Current plan year + 9

Line 8b(4)(a). Average Age. If line 8b(1) is “Yes,” enter the average age nearest birthday, as of the beginning of the plan year, separately for terminated vested participants and retired participants and beneficiaries receiving payments.

Line 8b(4)(b). Average Monthly Benefits. If line 8b(1) is “Yes,” enter the average monthly benefit, as of the beginning of the plan year payable to terminated vested participants, assuming commencement at normal retirement age and the average monthly benefit paid during the month containing the valuation date to retired participants and beneficiaries receiving payments. Enter the monthly benefits in rounded whole dollars.

• 2022 Schedule SB. Line 26 would be modified in Part VI of the 2022 Schedule SB to read as follows:

  26. Demographic and Benefit Information
  Is the plan required to provide a Schedule of Active Participants? If “Yes,” see instructions regarding required attachment.		☐ Yes ☐ No
  Is the plan required to provide a projection of expected benefit payments? (See instructions.) If “Yes,” attach a schedule?		☐ Yes ☐ No
  If line 26b is “Yes,” enter the average age and average monthly benefits, as of the valuation date separately for terminated vested participants and retired participants and beneficiaries receiving payments	(a) Terminated Vested Participants	(b) Retired Participants and Beneficiaries Receiving Payments
  (1)  Average age as of the valuation date
  (2)  Average monthly benefit as of valuation date

• Instructions to 2022 Schedule SB. The first two paragraphs of the instructions for line 26 (now line 26a) would be modified to reference line 26a instead of line 26 as shown below. In addition, instructions for lines 26b and 26c would be added as follows:

Line 26a. Schedule of Active Participant Data. Check “Yes” only if (a) the plan is covered by Title IV of ERISA and (b) the plan has active participants.

If line 26a is “Yes,” attach a schedule of the active plan participant data used in the valuation for this plan year. Use the format shown on the following page and label the schedule “Schedule SB, Line 26a – Schedule of Active Participant Data.”

Line 26b. Schedule of Projection of Expected Benefit Payments. Check “Yes” only if this plan is covered by Title IV of ERISA and has 500 or more total participants as of the valuation date.

If line 26b is “Yes,” in an attachment, provide a projection of benefits expected to be paid separately for active participants, terminated vested participants, and retired participants and beneficiaries receiving payments, and for the entire plan (not to include expected expenses) in each of the next fifty years starting with the current plan year of this filing assuming (1) no additional accruals, (2) experience (e.g., termination, mortality, and retirement) are in line with valuation assumptions, (3) no new entrants are covered by the plan, and (4) benefits are paid in the form assumed for valuation purposes. Use the format shown below. The attachment may be provided in a spreadsheet file. Label this attachment “Schedule SB, Line 26b – Schedule of Projection of Expected Benefit Payments

Schedule SB, Line 26b - Schedule of Projection of Expected Benefit Payments
	Expected Annual Benefit Payments
Plan Year	Active Participants	Terminated Vested Participants	Retired Participants and Beneficiaries Receiving Payments	Total
Current Plan Year
Current Plan Year + 1
Etc.
Current plan year + 49

Line 26c(1). Average Age. If 26b is “Yes,” enter the average age nearest birthday, as of the valuation date, separately for terminated vested participants and retired participants and beneficiaries receiving payments.

Line 26c(2). Average Monthly Benefits. If 26b is “Yes,” enter the average monthly benefit, as of the valuation date payable to terminated vested participants, assuming commencement at normal retirement age and the average monthly benefit paid during the month containing the valuation date to retired participants and beneficiaries receiving payments. Enter the monthly benefits in rounded whole dollars.

• 2022 Schedule SB. The title for Part IX of the 2022 Schedule SB and line 41 would be modified and replaced with the following:

Part IX	Pension Funding Relief under the American Rescue Plan Act of 2021 (See instructions.)
41  If an election was made to use the extended amortization rule for a plan year beginning on or before December 31, 2021, check the box to indicate the first plan year for which the rule applies.     □  2019    □  2020     □  2021

• Instructions to 2022 Schedule SB. The instructions for Part IX would be modified and replaced with the following:

Part IX – Pension Funding Relief under the American Rescue Plan Act of 2021

Line 41. If an election was made under Code section 403(c)(8) or ERISA section 303(c)(8) to apply the extended amortization rule for a plan year beginning on or before December 31, 2021, check the box to indicate the first plan year for which the rule applies (i.e., the box for the 2019, 2020, or 2021 plan).

• Instructions to 2022 Schedule R. Line 13 would be modified in the instructions for Part V of the 2022 Schedule R to read as follows:

Line 13. This line should be completed only by multiemployer defined benefit pension plans that are subject to the minimum funding standards (see Code section 412 and Part 3 of Title I of ERISA). Enter the information on lines 13a through 13e for any employer that, for the plan year, (1) contributed more than five percent of the plan’s total contributions or (2) was one of the top ten highest contributors. List employers in descending order according to the dollar amount of their contributions to the plan. Complete as many entries as are necessary to list all employers required to be reported.

5. Proposed Changes to 2022 Schedule H, Schedule I, Form 5500-SF, Form 5500-EZ And Their Instructions To Add New Trust Questions

• 2022 Schedules H and I. The following Trust Information questions, lines 6a-6d, would be added as new Part V of 2022 Schedule H and Part III of 2022 Schedule I:

Trust Information

Line 6a. Name of trust

Line 6b. Trust EIN

Line 6c. Name of trustee/custodian

Line 6d. Trustee’s or custodian’s telephone number

• 2022 Form 5500-SF. Trust Information questions identical to lines 6a-6d of Schedules H and I shown above would be added to 2022 Form 5500-SF as new Part VIII, lines 14a-14d.

• 2022 Form 5500-EZ. Trust Information questions identical to lines 6a-6d of Schedules H and I shown above would be added to Part II of 2022 Form 5500-EZ as new lines 4a-4d, and current lines 4-11 would be renumbered as lines 5-12.

• Instructions to 2022 Schedules H and I. Instructions for new Trust Information questions, lines 6a-6d, would be added as instructions for new Part V of 2022 Schedule H and Part III of Schedule I to read as follows.

Line 6a. Enter the name of the trust. If a plan uses more than one trust, enter the primary trust in which the greatest dollar amount or largest percentage of the plan assets as of the end of the plan year is held. For example, if a plan uses three different trusts, X, Y, and Z, and the percentages of the plan assets are 35%, 45%, and 20%, respectively, Trust Y with 45% of the total plan assets would be entered in line 6a.

Line 6b. Enter the EIN assigned to the employee benefit trust, if one has been issued to the trust. If you do not have a trust EIN, enter the EIN you would use on Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRS, Insurance Contracts, to report distributions from employee benefit plans and on Form 945, Annual Return of Withheld Federal Income Tax, to report amounts of income tax withheld from those payments. Do not enter a SSN.

A trust EIN can be obtained from the IRS by applying on Form SS-4, Application for EIN. See the instructions for Form 5500, line 2b, to apply for an EIN. Also see the IRS EIN application link page at www.irs.gov/businesses and click on “Employer ID Numbers” for additional information. The EIN is issued immediately once the application information is validated.

Lines 6c and 6d. Enter the name of the trustee or custodian and the trustee’s or custodian's telephone number.

• Instructions to 2022 Form 5500-SF. Instructions to new Trust Information questions identical to instructions to lines 6a-6d of Schedules H and I shown above would be added to instructions for new Part VIII of 2022 Form 5500-SF, except the line numbers would be lines 14a-14d.

• Instructions to 2022 Form 5500-EZ. Instructions to new Trust Information questions identical to instructions to lines 6a-6d of Schedules H and I shown above would be added to instructions for 2200 Form 5500-EZ as lines 4a-4d and current instructions to lines 4-11 would be renumbered as lines 5-12.

6. Proposed Changes to Form 5500 to add new checkboxes for proposed Schedules DCG and MEP.

• 2022 Form 5500

1. Line 10(a) of Part II of 2022 Form 5500 would be modified by adding new

checkboxes for new schedules: DCG and MEP to read as follow:

10. Check all applicable boxes in 10a and 10b to indicate which schedules are

attached and, where indicated, enter the number attached. (See instructions)

a. Pension Schedules

***

(4) DCG (Individual Plan Information)

(5) MEP (Multiple-Employer Retirement Plan Information)

7. Proposed Changes to 2022 Schedule R, Form 5500-sf, Form 5500-EZ and Their Instructions to Add New IRS Required Compliance Questions

• 2022 Schedule R. New Part - IRS Compliance questions, lines 21a, 21b, and 22, would be added to 2022 Schedule R as follows:

IRS Compliance Questions

Line 21a. Does the plan satisfy the coverage and nondiscrimination tests of Code sections 410(b) and 401(a)(4) by combining this plan with any other plans under the permissive aggregation rules?󠅿 󠅿 󠅿 󠅿󠅿 󠅿Yes 󠅿 󠅿 󠅿 󠅿 󠅿󠅿 󠅿No 󠅿

Line 21b. If this is a Code section 401(k) plan, check the correct box to indicate how the plan is intended to satisfy the nondiscrimination requirements for employee deferrals and employer matching contributions (as applicable) under Code sections 401(k)(3) and 401(m)(2)?

󠅿 Design-based safe harbor method

󠅿󠅿 “Prior year” ADP test

󠅿󠅿 “Current year” ADP test 󠅿

󠅿󠅿 N/A __

Line 22. If the plan sponsor is an adopter of a pre-approved plan that received a favorable IRS Opinion Letter, enter the date of the Opinion Letter ___/___/_____ (MMDD YYYY) and the Opinion Letter serial number__________.

• 2022 Form 5500-SF. New IRS Compliance questions identical to lines 21a, 21b, and 22 of Schedule R shown above would be added to 2022 Form 5500-SF as new Part IX, lines 15a, 15b and 16.

• 2022 Form 5500-EZ. The following IRS Compliance question would be added to Part V of 2022 Form 5500-EZ as new line 13.

Line 13. If the plan sponsor is an adopter of a pre-approved plan that received a favorable IRS Opinion Letter, enter the date of the Opinion Letter ___/___/_____ (MMDD YYYY) and the Opinion Letter serial number__________.

• Instructions to 2022 Schedule R. Instructions for new Part VII-IRS Compliance questions, lines 21a – 21c and 22, would be added to instructions for 2022 Schedule R to read as follows.

Line 21a. Check “Yes” if this plan was permissively aggregated with another plan to satisfy the requirements of Code sections 410(b) and 401(a)(4). Generally, each single plan must separately satisfy the coverage and nondiscrimination requirements. However, generally, an employer may designate two or more separate plans as a single plan for purposes of applying the ratio percentage test of Treasury Regulations section 1.410(b)-2(b)(2) or the nondiscriminatory classification test of Treasury Regulations section 1.410(b)-4. Two or more plans that are permissively aggregated and treated as a single plan for purposes of the minimum coverage test of Code section 410(b) must also be treated as a single plan for purpose of the nondiscrimination test under Code section 401(a)(4). See Treasury Regulations sections 1.410(b)-7(d) and 1.401(a)(4)-(9)(a) for more information.

Line 21b. Check the applicable method used to satisfy the nondiscrimination requirements of Code section 401(k). A safe harbor 401(k) plan is similar to a traditional 401(k) plan but, among other things, it must provide for employer contributions. These contributions may be employer matching contributions, limited to employees who defer, or employer contributions made on behalf of all eligible employees, regardless of whether they make elective deferrals. The safe harbor 401(k) plan is not subject to the complex annual nondiscrimination tests that apply to traditional 401(k) plans. Check “Design-based safe harbor method” if this is a safe harbor 401(k) plan, that is, a SIMPLE 401(k) plan under Code section 401(k)(11), a safe harbor 401(k) plan under Code section 401(k)(12), or a qualified automatic contribution arrangement under Code section 401(k)(13). If the plan, by its terms, does not satisfy the safe harbor method, it generally must satisfy the regular nondiscrimination test, known as the actual deferral percentage (ADP) test. Check the appropriate box to indicate if the plan uses the “current year” ADP test or the “prior year” ADP test. Check “current year” ADP test if the plan uses the current year testing method under which the ADP test is performed by comparing the current plan year’s ADP for highly compensated employees (HCEs) with the current plan year’s (rather than the prior plan year’s) ADP for nonhighly compensated employees (NHCEs). Check all boxes that apply for a plan that tests different groups of employees on a disaggregated basis. Check “N/A” if the plan is not required to test for nondiscrimination under Code section 401(k)(3), such as a plan in which no HCE is benefiting.

Line 22. If a plan sponsor or an employer adopted a pre-approved plan that relied on a favorable Opinion Letter of a pre-approved plan, enter the date of the most recent favorable Opinion Letter issued by the IRS and the Opinion Letter serial number listed on the letter.

• Instructions to 2022 Form 5500-SF. Instructions for new IRS Compliance questions identical to instructions to lines 21a – 21c and 22 of 2022 Schedule R shown above would be added as instructions for new Part IX of 2022 Form 5500-SF, except the instruction line numbers would be lines 15a, 15b and 16.

• Instructions to 2022 Form 5500-EZ. Instructions for new IRS Compliance question, line 13 would be added to instructions for Part V of 2022 Form 5500-EZ to read as follows.

Line 13. If a plan sponsor or an employer adopted a pre-approved plan that relied on a favorable Opinion Letter of a pre-approved plan, enter the date of the most recent favorable Opinion Letter issued by the IRS and the Opinion Letter serial number listed on the letter.

8. Change to Participant-Count Methodology for Determining Independent Qualified Public Accountant Audit Requirement for Individual Account Plans

• 2022 Form 5500. Current line 6g, Number of participants with account balances as of the end of the plan year (only defined contribution plans), would be renumbered as line 6g(2) and a new line 6g(1) would be added to the 2022 Form 5500 read as follows.

Line 6g(1). Number of participants with account balances as of the beginning of the plan year (only defined contribution plans).

• Instructions to 2022 Form 5500. Instructions to line 6g of 2022 Form 5500 would be modified to read as follows:

Line 6g. Enter in line 6g(1) the number of participants included on line 5 (total participants at the beginning of the plan year) who have account balances at the beginning of the plan year. Enter in line 6g(2) the number of participants included on line 6f (total participants at the end of the plan year) who have account balances at the end of the plan year. For example, for a Code section 401(k) plan the number entered on line 6g(2) should be the number of participants counted on line 6f who have made a contribution, or for whom a contribution has been made to the plan for this plan year or any prior plan year. Welfare benefit plans and defined benefit plans should leave lines 6g(1) and 6(g)(2) blank.

• 2022 Form 5500-SF. Current line 5c, Number of participants with account balances as of the end of the plan year (only defined contribution plans), would be renumbered as line 5c(2) and a new line 5c(1) would be added to 2022 Form 5500-SF read as follows.

• Line 5c(1). Number of participants with account balances as of the beginning of the plan year (only defined contribution plans).

• Instructions to 2022 Form 5500-SF. Instructions to line 5c of 2022 Form 5500-SF would be added to read as follows:

Line 5c. Enter in line 5c(1) the number of participants included on line 5a (total participants at the beginning of the plan year) who have account balances at the beginning of the plan year. Enter in line 5c(2) the number of participants included on line 5b (total participants at the end of the plan year) who have account balances at the end of the plan year. For example, for a Code section 401(k) plan the number entered on line 5c(2) should be the number of participants counted on line 6f who have made a contribution, or for whom a contribution has been made to the plan for this plan year or any prior plan year. Welfare benefit plans and defined benefit plans should leave lines 5c(1) and 6(g)(2) blank.

9. Proposed changes to Form 5500-EZ to add new checkbox F to Part I for filer not required to e-file Form 5500-EZ

• 2022 Form 5500-EZ. The following new checkbox F would be added to Part I of the 2022 Form 5500-EZ.

F If you are not required to file Form 5500-EZ electronically pursuant to Treas. Regs. 301.6058-2, check this box (see instructions) ………………………………………. ► X

• Instructions to 2022 Form 5500-EZ. Instructions to the new checkbox F added to Part I of the 2022 Form 5500-EZ would be added to read as follows:

Instructions for Electronic Filing Certification

Check box F only if you are filing using paper Form 5500-EZ and you are not required to electronically file Form 5500-EX pursuant to Treas. Regs. 301.6058-2, which requires a return required to be filed under Code section 6058, such as Form 5500-EZ, to be filed electronically if the filer is required by the Code or regulations to file at least 10 returns during the calendar year that includes the first day of the plan year.

1 For 2022, it would be expected that this information would be entered as structured repeating line items or in a format that would be imported into the system, rather than a nonstandard, read-only attachment.

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