Key Takeaways:
- ERISA records often need to be retained indefinitely — beyond the standard six-year rule — to document eligibility, vesting, and benefit payments.
- The plan sponsor is ultimately responsible for maintaining records, even when a third-party administrator is involved.
- Strong record retention practices — including clear policies, secure backups, and detailed documentation — help reduce compliance and benefit dispute risks.
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Maintaining Employee Retirement Income Security Act (ERISA) plan records isn’t just an administrative task — it’s a long-term fiduciary obligation. Missing documentation can lead to duplicate benefit payments, audit complications, and regulatory risk. Whether you’re navigating a plan audit, a merger, or a change in TPAs, having the right records on hand is critical.
9 Answers to Frequently Asked Questions (FAQs) About ERISA Records
Below are answers to FAQs your organization may face about ERISA record retention, so you can stay compliant and protect your plan participants — and your business.
1. How long should we retain ERISA plan records?
ERISA Section 107 requires a six-year retention period from the date of filing. However, ERISA Section 209 requires records to be retained until all benefits are paid and audit periods have expired, which often means keeping records for decades.
2. What happens if our company can’t find a record and a former employee files a claim?
If you cannot produce the documentation showing that benefits were already distributed, you may be required to pay the benefits again. The burden of proof lies with the plan sponsor — not the employee.
3. What is Form 8955-SSA, and why is it important?
Form 8955-SSA is filed with the Social Security Administration to report participants with vested benefits who leave employment without taking a distribution. If benefits appear unclaimed years later, the SSA will notify the participant and your company will be responsible for proving payment was made.
4. Who is responsible for maintaining ERISA plan records — the employer or the TPA?
The employer (plan sponsor) is ultimately responsible, even if a third-party administrator (TPA) stores or manages the records. If a TPA goes out of business or the contract ends, you’re still liable for record retention.
5. Can we destroy old benefit plan records after six years?
Not always. While some documents may fall under the six-year rule, plan records tied to eligibility, vesting, or distributions should be retained indefinitely — especially those needed to prove all benefits have been paid.
6. What are common reasons records go missing?
- Mergers, acquisitions, or company closures
- TPA transitions without contractual clarity
- Data migrations or IT failures
- Overly strict general retention policies applied to benefit plan records
7. What types of documents should we retain for our ERISA plans?
Keep signed versions of the following:
- Plan documents, amendments, adoption agreements
- IRS determination letters
- Summary plan descriptions (SPDs) and summary of material modifications (SMMs)
- Records on eligibility, vesting, benefits
- Loan and distribution support
- Board resolutions, minutes, service provider contracts
8. How can we improve our ERISA records retention practices?
- Review and update your record retention policies to address ERISA-specific needs
- Ensure TPA contracts include retention provisions
- Back up all documents securely and verify access by fiduciaries
- Retain documents during transitions in recordkeepers or payroll systems
- Implement a written policy for managing electronic records
9. Can MGO help us review our ERISA record retention policies?
Yes. MGO provides independent employee benefit plan audits and can assist in evaluating your current recordkeeping processes to verify regulatory compliance and reduce exposure to future claims.
Support for Confident ERISA Compliance
At MGO, we understand the complexity of managing retirement plan responsibilities under ERISA. Our team provides assurance and consulting services designed to help you meet your fiduciary obligations with confidence. Whether you’re preparing for an audit or looking to strengthen your records retention practices, we offer guidance rooted in regulatory expertise. Reach out to our team today to learn how our solutions can support your organization’s compliance goals.