This document provides a general understanding of the tax and compliance requirements for 401(k) plans that are subject to the reporting requirements under the ERISA. This primer discusses:

• the tax advantages of plan qualification under the Internal Revenue Code,
• the IRC requirements for a plan to be qualified,
• plan design and IRS determination, opinion, and advisory letters,
• non-discrimination tests and other operating tests to maintain qualified status,
• safe harbor plans,
• plan document failures and operational errors,
• IRS correction programs, and
• unrelated business income tax considerations