Common questions about Benefit Plan Form 5500-SF in Lacerte

1. Go to Screen 7, One-Participant Plan (5500-EZ/5500-SF).
2. Under the section 5500-SF (Short Form Annual Return), select the box 5500-SF (MANDATORY)(Press F1 for help on generating this return).
3. Fill out the applicable information related to the return in Screen 7.

According to the Form 5500-SF instructions, to be eligible to use the Short Form Annual Return/Report of Small Employee Business Plan, your plan must:

• Be a small plan (For example, it should generally have fewer than 100 participants at the beginning of the plan year),
• Meet the conditions for being exempt from the requirement that the plan's books and records be audited by an independent qualified public accountant (IQPA),
• Have 100% of its assets invested in certain secure investments with a readily determinable fair value,
• Hold no employer securities,
• Not be a multiemployer plan,
• Not be required to file a Form M-1, Report for MultipleEmployer Welfare Arrangements (MEWAs) and Certain Entities Claiming Exception (ECEs) for the plan year.

Verify the type of plan that has been selected in Screen 1, Client Information. These questions do not have to be filled out if the plan is a Single-Employer Plan and will not be marked if this type has been selected in  Client Information under Type of Plan/Entity.  The Form Instructions state that only the following fields are required for Single-employer plans:

• Part I, lines A, B, and C
• Part II, lines 1a-5b
• Part III, lines 7a-c, and 8a
• Part IV, line 9a
• Part V, line 10g
• Part VI, lines 11-12e

If Form 5500 - Multi-employer plan (not Multiemployer plan) is selected in Screen 1, Client Information then lines 6a and 6b will be marked Yes.

Note:  The Form 5500-SF line instructions for line 6 indicates the answer to both questions must be yes in order to file form 5500-SF.  If either answer is No then Form 5500 should be filed.

If the plan is a defined contribution pension plan, then line 11 will be blank.

To verify the plan's characteristics:

1. Go to Screen 6, Employee Benefit Plan (5500).
2. Scroll to the Plan Characteristics section.
3. If you've selected any boxes under Defined Contribution Pension Features, then Lacerte will leave line 11 blank.

The asset and liabilities fields in Screen 7, One-Participant Plan (5500-SF/5500-EZ) are for the Form 5500-EZ only, per the F1 help for Total Plan Assets (input sheet codes 18 and 20).

You must enter the assets and liabilities for a Form 5500-SF in Screen 13, Financial Information (Sch. H, I).