Just like clearing out closets and dusting off shelves, spring is the perfect season to tidy up your compliance strategy. When it comes to employee benefits, outdated plan documents can do more than collect dust—they can lead to audits, lawsuits, and costly penalties.

Staying compliant with ERISA  the Tax Code, and other laws starts with accurate up-to-date documentation. That’s where Wrap Documents and Summary Plan Descriptions (SPDs) come in, filling the gaps to ensure your plan is legally sound and employees are properly informed. They clearly outline important plan details like the plan name, number, and start date—to meet ERISA rules. Wrap documents also combine multiple benefits into one plan, helping you stay organized and ready for audits.

In our recent Compliance Recharge session, we explored why accurate plan documents matter more than ever. Government agencies like the DOL, IRS, and HHS require precise and timely documentation. Even minor mistakes or missing details can spiral into major problems.

What Needs a Refresh?

Think of your plan documents like a photo: the Plan Document is like the raw file that defines how the plan operates, while the Summary Plan Description (SPD) is the final print shared with participants. Wrap documents help tie all the pieces together and cover compliance gaps left by carrier documents.

Here’s a quick checklist to assess your current documents:

• How old is the document?
• Are recent plan changes reflected?
• Are the plan name, plan number, and sponsor information correct?
• Are all ERISA-subject benefits included?

Outdated or incomplete documents can result in more than just fines—they can leave your organization exposed, offering unintended benefits or risking plan mismanagement. Your plan documents aren’t just compliance requirements; they’re critical tools for protecting your organization and your employees.

Just like flowers need water and sunlight, your plan documents need maintenance and care. Medcom offers wrap document preparation, Cafeteria Plan services, and ongoing training to help your organization stay audit-ready. Let’s clear the compliance clutter together.