JAN 16, 2024
DOL Penalties Increase for 2024
Category:
Compliance Bulletins
The Department of Labor (“DOL”) has published the annual adjustments for 2024 that increase certain penalties applicable to employee benefit plans.
Annual Penalty Adjustments for 2024
The following updated penalties are applicable to health and welfare plans subject to ERISA.
| Description | 2023 Penalty (Old) | 2024 Penalty (NEW) |
|---|---|---|
| Failure to file | Form 5500 Up to $2,586 per day | Up to $2,670 per day |
| Failure of a MEWA to file reports (i.e., M-1) | Up to $1,881 per day | Up to $1,942 per day |
| Failure to provide CHIP Notice | Up to $137 per day per employee | Up to $141 per day per employee |
| Failure to disclose CHIP/Medicaid coordination to the State $141 per day per violation (per participant/beneficiary) | $137 per day per violation(per participant/beneficiary) | $141 per day per violation(per participant/beneficiary) |
| Failure to provide SBCs | Up to $1,362 per failure | Up to $1,406 per failure |
| Failure to furnish plan documents (including SPDs/SMMs) to DOL on request | $184 per day $1,846 cap per request | $190 per day $1,906 cap per request |
| Genetic information failures | $137 per day (per participant/beneficiary) | $141 per day (per participant/beneficiary) |
| De minimis failures to meet genetic information requirements | $3,439 minimum | $3,550 minimum |
| Failure to meet genetic information requirements – not de minimis failures | $20,641 minimum | $21,310 minimum |
| Cap on unintentional failures to meet genetic information requirements | $688,012 maximum | $710,310 maximum |
Employer Action
Private employers, including non-profits, should ensure employees receive required notices timely (SBC, CHIP, SPD, etc.) to prevent civil penalty assessments. In addition, employers should ensure Form 5500s are properly and timely filed, if applicable. Finally, employers facing document requests from EBSA should ensure documents are provided timely, as requested.
This document is designed to highlight various employee benefit matters of general interest to our readers. It is not intended to interpret laws or regulations, or to address specific client situations. You should not act or rely
on any information contained herein without seeking the advice of an attorney or tax professional. © My Benefit Advisor. All Rights Reserved. CA Insurance License #0G33244
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