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Non-Discrimination Testing

  1. Client's Responsibilities
    You are the plan administrator and the claims fiduciary as described under ERISA and the Internal Revenue Code. As such, only you have the power to waive, alter, breach or modify any of the terms and conditions of the cafeteria plan ("Plan"), and you exercise all discretion, control or authority with respect to the disposition of the available benefits. The IRS requires that the Plan be non-discriminatory, such that it does not discriminate in favor of highly compensated individuals or key employees, as those terms are defined by the IRS. If you have elected to have WageWorks provide Non-Discrimination Testing services, you shall:
    1. Login to the testing portal website via the link and login credentials provided by WageWorks.
    2. Provide accurate and complete information in the prescribed electronic data file format.
    3. Upload the data to the testing portal website to initiate the test(s).
    4. Log back into the website to review your test results after receipt of email notification from WageWorks that your test results are available.
    5. Make necessary election adjustments in the prescribed electronic data file format (or other method specified by WageWorks) and timely provide that information to WageWorks.
    6. Update your payroll records to reflect election adjustments, if any.
    7. Notify affected participants of any election adjustments made to their accounts.
    8. Correct all errors in any data, files or other materials provided to us by you or on your behalf. We do not audit data, files or other information provided by you or on your behalf by third party service providers.
    9. Timely pay all service fees.
    10. Manage access to the testing portal website by your personnel based upon your internal confidentiality and HIPAA privacy policies and procedures.
    11. Comply with all applicable laws (e.g., HIPAA, COBRA and ERISA) with respect to your Plan and make any required filings, if any.
  2. WageWorks' Responsibilities
    We have been engaged by you to provide certain services in connection with your Plan(s). Accordingly, you have authorized us to use our standard procedures for the provision of such services. We shall:
    1. Provide you with a set of electronic file specifications for the delivery of data to us.
    2. Process data files submitted by you in the prescribed electronic data file format.
    3. Provide you with a link to the secure Non-Discrimination Testing portal website and login credentials via email.
    4. Perform Non-Discrimination Testing for your Plan(s) upon receipt of all required testing data.
    5. Provide you with email notification that your test results are available for your review.
    6. Have personnel available to answer phone or email inquiries by your staff regarding any election adjustments that may be necessary.


[V. 5/21/18]