2023 Form 5500 Changes Unveiled by DOL

The Department of Labor recently released informational copies of the Form 5500 series for 2023, highlighting changes from the 2022 versions. The official forms will be available on Jan. 1, 2024. The Pension Benefit Guaranty Corporation and the Internal Revenue Service also issued sample copies reflecting these changes.

The updates include:

• A new Schedule DCG for defined contribution group reporting arrangements.
• A new Schedule MEP for multiple employer pension plans.
• A revised method for counting participants in small plan audits.
• Enhanced transparency in Schedule H for administrative expenses.
• Changes in Schedule MB for asset reporting in plans receiving special financial assistance.
• Updated tax compliance questions and asset allocation reporting in Schedule R.
• Clarifications in Schedule SB for target normal cost reporting.

These changes apply to Forms 5500 and 5500-SF. Form 5500-EZ remains unchanged.

Forms 5500 and 5500-SF are submitted to the DOL, IRS, and PBGC by employee benefit plans as part of their filing requirements under the Employee Retirement Income Security Act and the Internal Revenue Code. According to a DOL fact sheet, these forms provide the agencies with information on the operations, funding, and investments of about 864,000 pension and welfare plans.

The DOL recommends that the Form 5500 series users check the DOL’s EFAST2 website to know when the official electronic versions are available. The forms can be filed using approved vendor software or the EFAST2 website.