Using The Online 401(k) Service

Transcription

1 Task Sheet Using The Online 401(k) Service Overview The Online401k Service has been developed to create the required output files for theonline401k.com. This document contains the task sheet you are reading now, followed by two documents created by The Online 401(k). This section provides you with an overview. In order for the 401(k) output files to be created, you must add a new service (Online401k) to the company s Services tab. After you add the service, you have to configure some required settings. Once you have completed the configuration, Millennium creates the necessary output files during payroll processing. When payroll is processed, the system runs a job called Online401k. This job creates two output files that can be submitted to The Online 401k: The 401(k) census file The 401(k) deferral file (only created when there is data to report) Adding the Service to the Database You should have received an installation program, The_Online_401k_installer.exe, from MPAY Support. It adds the database entries to the company or companies you specify. WARNING Perform these steps during a time in which all dedicated process servers can be restarted (services are cached by the process server). Run The_Online_401k_installer.exe on a machine on which Millennium 3 is installed. Note The user who performs these steps should have Administrator rights. To add the service, perform the following steps: 1. Run The_Online_401k_installer.exe. The system displays the Script Log In dialog, as shown in the example in FIGURE 1: Release

2 Using The Online 401(k) Service Figure 1: Script Log In dialog 2. To log into Millennium, enter your user name, password, and select the appropriate database and click the OK button. The system displays the SQL Server Login dialog, as shown in the example in FIGURE 2: Figure 2: SQL Server Login dialog 3. Select the machine that has SQL Server installed in the Server field. If you are already logged into the SQL server machine, leave it at the default (local). If you are logging in from a remote workstation, put a check in the Use Trusted Connection check box and enter your the appropriate information in the Login ID and Password fields. 4. Click the OK button. The system requests if you want to add the service, as shown in FIGURE 3: Figure 3: Add service request 5. Click the Yes button. 2 The Online 401(k) Task Sheet

3 Using The Online 401(k) Service The program installs database entries for The Online 401(k), which should take less than a minute. Upon completion of the installation, the program displays the following: Figure 4: Dialog showing that the installation is complete 6. Click the OK button. The service is now available. If your service bureau had any dedicated process servers running, you must restart them. Setting up the service Perform the following steps: 1. Select [company] > Company Maintenance > Master Company Setup > Services tab. The system displays the Company Services page, as shown in the example in FIGURE 5: Figure 5: Company Services page 2. Add a new service by clicking on the yellow asterisk button, as shown in FIGURE 6: Release

4 Using The Online 401(k) Service Figure 6: Selecting the new button 3. When you click on this icon, the system displays a pop up list shown in FIGURE 7: Figure 7: Pop up list of available services 4. Select Online401k Online 401K File. The system redisplays the Company Services page, but with the new service in the sub page shown in the example in FIGURE 8: 4 The Online 401(k) Task Sheet

5 Using The Online 401(k) Service Figure 8: Company Services page 5. In the Service Setup sub page, click on the Edit Properties button. The system displays the Online 401(k) Setup dialog, as shown in the example in FIGURE 9: Figure 9: The Online 401(k) Setup dialog Explanations of the fields in the top portion of this dialog are as follows: Release

6 Using The Online 401(k) Service UNC Output File Path 401k Company Name Custodian Acct Number CO HR Contact The location where output files will be saved. A Uniform Naming Convention (UNC) path is recommended to ensure all process servers can access the location. A UNC path specifies the name of the particular computer and directory or resource to be accessed. The name of the server and/or computer is prefaced with two backslashes. Each directory and sub directory is prefaced by a backslash. Here are two examples: \\servername\computername\directorfoy\subdirectory \\servername\directory\subdirectory\program.exe The unique name assigned by The Online 401(k) Company. Defaults to the Millennium company ID. Used in the output files. The e mail address for a company contact. Used in cases when an employee does not have their own e mail address. The following fields are contained in the Earn/Ded Types or Code Groups area of the dialog: EE 401k Deferrals EE 401k Loan The code or ID that represents the earning or deduction types or group code from which the system will gather the appropriate values for the employee s 401(k) deferrals. Valid entries include: [Use E/D Types] The default value If you leave this value in this field, the system uses all deduction codes with the 401(k) deduction type. Any code group defined for this company If you select a specific value in this drop down field, the system that particular code group only. The code or ID that represents the earning or deduction types or group code from which the system will gather the appropriate values for the employee s 401(k) loans. Valid entries include: [Use E/D Types] The default value If you leave this value in this field, the system uses all deduction codes with the 401(k) loan deduction type. Any code group defined for this company If you select a specific value in this drop down field, the system that particular code group only. 6 The Online 401(k) Task Sheet

7 Using The Online 401(k) Service ER Matching Roth 401k Service Hours The code or ID that represents the earning or deduction types or group code from which the system will gather the appropriate values for the employer matching amounts. Valid entries include: [Use E/D Types] The default value If you leave this value in this field, the system uses all earning codes with the MemoERMatch earning type. Any code group defined for this company If you select a specific value in this drop down field, the system that particular code group only. The code or ID that represents the earning or deduction types or group code from which the system will gather the appropriate values for the employee s Roth 401(k) deferrals. Valid entries include: [Use E/D Types] The default value If you leave this value in this field, the system uses all deduction codes with the Roth 401(k) deduction type. Any code group defined for this company If you select a specific value in this drop down field, the system that particular code group only. The code group that represents the total number of hours worked for the pay period. A code group is required here. The following fields are contained in the Miscellaneous Code Groups area of the dialog: Profit Sharing Safe Harbor Either select a code group to specify the type of profit sharing or leave this field blank. Either select a code group to specify the type of Safe Harbor or leave this field blank. Output Files 6. Fill in each field with the appropriate information. This section describes the files and where the data is being gathered from within Millennium. Release

8 Using The Online 401(k) Service Census File The order and representative names for the columns of the CSV file are listed below. For more information, see Create census files in specified format in The Online 401k Quick Start Guide. 1. FIRSTNAME First name from Employee Demographics. 2. MIDDLE_INITIAL Middle initial from Employee Demographics. 3. SSN Social Security number from Employee Demographics. 4. BIRTH_DATE Birth date from Employee Demographics. 5. ADDRESS1 Address line 1 from Employee Demographics. 6. CITY City from Employee Demographics. 7. STATE State from Employee Demographics. 8. ZIP ZIP code from Employee Demographics. 9. PHONE Phone number from Employee Demographics E mail address from Employee Miscellaneous. 11. DATE_OF_HIRE Hire date from Employee Status/Position. 12. DATE_OF_TERMINATION Termination date from Status/Position. 13. TERMINATION_STATUS If the termination date has a value, this value is T. 14. HCE Highly compensated employee from Employee 401(k) Status. 15. FAMILY_MEMBER Owner related from Employee 401(k) Status. 16. OWNERSHIP_PERCENT Percentage from Employee 401(k) Status. 17. LASTNAME Last name from Employee Demographics. 401(k) Deferral File The order and representative names for the columns of the CSV file are listed below. For more information, see Generate payroll files in specified format in The Online 401k Quick Start Guide. 1. LASTNAME Last name from Employee Demographics. 2. FIRSTNAME First name from Employee Demographics. 3. SALARY Total of gross wages. 4. DEFERRAL Total of 401(k) deduction types or code group, if it is set up in the service. 5. ROTH_401k Total of Roth 401(k) deduction types or code group, if it is set up in the service. 8 The Online 401(k) Task Sheet

9 Using The Online 401(k) Service 6. LOAN_PAYMENTS First 401(k) Loan deduction type (1 only) or code group, if it is set up in the service. 7. MATCHING Total of MemoERMatch earning types or code group, if it is set up in the service. 8. PROFIT_SHARING Total of code group, if it is set up in the service. 9. SAFE_HARBOR Total of code group, if it is set up in the service. 10. SERVICE_HOURS Total of the Regular, OT, and OT Weighted earning types or code group, if it is set up in the service. 11. SSN Social Security number from Employee Demographics. Release

10 Using The Online 401(k) Service 10 The Online 401(k) Task Sheet

11 Quick Start Guide to integrating operations with The Online 401(k) What is this quick start guide? This quick start guide will walk you through the next steps to implement the operational integration of our payroll/401(k) partnership. You will find detailed steps on how to: 1- Setup for our mutual clients on your systems 2- Generate payroll files in a specified format 3- Generate census files in a specified format 4- Send payroll and census files via our secure site 5- Send 401(k) deposits via ACH or checks to custodian Summary of partnership implementation phases Below are the four partnership implementation phases through which The Online 401(k) is guiding you. This quick start guide focuses on phase 1: Operational integration. 1. Operational integration 2. Site customization 3. Sales training 4. Marketing support Summary of shared responsibilities between The Online 401(k) and Payroll Partner: Once we have completed the four phases of our partnership implementation, we are ready to start servicing a joint client. Here is how The Online 401(k) shares responsibilities with its payroll partners: The Online 401(k) Payroll Partner Plan setup X Enrollment X Payroll files X Census files* X Deposits to custodian* X Customer service X Recordkeeping X Plan Administration X *Responsibility for census and 401(k) deposits only apply to your payroll company if you have opted to be responsible for them in the Partnership Alliance Agreement you signed with The Online 401(k). The Online 401(k) Page 1 of 8 partnersupport@theonline401k.com

12 1. HOW TO: Set up a mutual client on your systems Why is this important? A mutual client is a small business who uses both your payroll services and The Online 401(k) s services. For our operational integration to be effective, it is important that you are informed on the specifics of each of our mutual clients 401(k) plan. For instance, if you have opted to send 401(k) deposits on behalf of your clients, you will need to know if the clients custodian and account number. Instructions In order to keep you informed on the specifics of each of our mutual clients 401(k) plan, The Online 401(k) will provide you with a completed New client 401(k) setup form as soon as a new mutual client s 401(k) plan has been setup. Please refer to page 8 to familiarize yourself with the content of the New client 401(k) setup form. 2. HOW TO: Generate payroll files in specified format Why is this important? Thanks to our partnership, your clients will be able to setup and maintain a 401(k) plan that requires much less work on their part than if they had selected The Online 401(k) as a stand alone solution. We will receive a payroll file from you, every pay period, for every mutual client we have. This relieves our mutual client from having to log in to The Online 401(k) site and submit their payroll file each pay period. Instructions We need specific fields in every payroll file you will be sending us. Naming convention for payroll files For every mutual client, every pay period, you will send The Online 401(k) a CSV (comma separated value) payroll file. Please use the following naming convention when you save a payroll file (the words in bold need to be customized every time you send us a payroll file) CompanyName_Payroll_File_From_PeriodStart_to_PeriodEnd_CustodianAccountNo_$totalDeferralDeposit.csv Example: JonesSurfShop_Payroll_File_From_ _to_ _CustodianAccountNo_$totalDeferralDeposit.csv What is a CSV file? A CSV (comma-separated values) file contains the values in a table organized so that each column value is separated by a comma from the next column's value and each row starts a new line. A CSV file is a way to collect data from any table so that it can be conveyed as input to another application, which in our case is our 401(k) recordkeeping platform. The Online 401(k) Page 2 of 8 partnersupport@theonline401k.com

13 What are the fields required in the CSV payroll file? The table below shows all the fields required in each payroll file No header rows One payroll file per client All fields are required If no data, null or value as indicated No $ Decimal ok No commas Actual data fields in this order: Last First Salary 401(k) Roth Loan Employer Profit Safe Hours of Social name name deferral deferral payment match sharing harbor service Security Alpha Alpha Numeric Numeric Numeric Numeric Numeric Numeric Numeric Numeric Numeric *A sample Excel CSV payroll file has been sent with this Quick Start Guide. The Online 401(k) Page 3 of 8 partnersupport@theonline401k.com

14 3. HOW TO: Create census files in specified format *NOTE: this section only applies to your payroll company if you have opted to submit census files to The Online 401(k) on behalf of our mutual clients. Why is this important? An employee census that is kept up-to-date is an important aspect of keeping a 401(k) plan in compliance. Thanks to our partnership, you will be able to send us census files along with payroll files for each of our mutual clients every pay period. Just like with payroll files, when you send census files to The Online 401(k), it relieves our mutual client from having to log in to The Online 401(k) site, enter their census and maintain it to reflect new hires, terminations and changes in employee status. Instructions We need specific fields in every census file you will be sending us. Naming convention for census files For every mutual client, every pay period, you will send The Online 401(k) a CSV (comma separated value) census file. Please use the following naming convention when you save a census file (the words in bold need to be customized every time you send us a census file.) CompanyName_CensusFile_EnteredOnDate.csv What is a CSV file? A CSV (comma-separated values) file contains the values in a table organized so that each column value is separated by a comma from the next column's value and each row starts a new line. A CSV file is a way to collect data from any table so that it can be conveyed as input to another application, which in our case is our 401(k) recordkeeping platform. What are the fields required in the CSV census file? The table below shows all the fields required in every census file you will be sending to The Online 401(k). No header rows One census file per client All fields are required If no data, null or value as indicated No $ Decimal ok No commas FIRST NAME SSN MIDDLE INITIAL BIRTH DATE ADDRESS1 CITY STATE ZIP PHONE DATE OF HIRE DATE OF TERMINATION HCE TERMINATION STATUS FAMILY MEMBER alpha alpha numeric date alpha alpha alpha numeric numeric alpha Date Date alpha alpha* numeric* numeric* OWNERSHIP % *A sample Excel CSV payroll file has been sent with this Quick Start Guide. The Online 401(k) Page 4 of 8 partnersupport@theonline401k.com

15 4. HOW TO: Send payroll and census files to The Online 401(k) using a secure FTP Why is this important? Once you have generated payroll and census files for each of our mutual clients, you will need to submit the files created on any given day in a batch through a secure FTP (file transfer protocol) site. You will do so by using client side FTP program which you should already have (if not we can instruct you how to get one). Integrity and security of client data is a priority and our secure FTP server ensures that only you and The Online 401(k) sees this data. Instructions Step 1: Step 2: Step 3: Step 4: Step 5: Generate payroll or census file following The Online 401(k) s specified format. Log in to the SFTP site at ftp-authssl:// / using your login and password (to be provided by The Online 401(k)). On the right hand side screen, click on the folder with the mutual client s name. Use the arrows (circled below) in the center of the screen to move your files on the FTP site. You can highlight all the files you want to move and click the left and right arrows. Log out. Here is what the SFTP site looks like once you have logged in and clicked on the mutual client s name: Your desktop s files Census and payroll folders where you need to drop in your payroll and census files The Online 401(k) Page 5 of 8 partnersupport@theonline401k.com

16 5. HOW TO: Send 401(k) deposits to custodian *NOTE: this section only applies to your payroll company if you have opted to send 401(k) deposits to your clients asset custodian on their behalf each pay period. Why is this important? Every pay period, 401(k) deposits must be sent to the financial institution (called custodian) selected by your client to hold their 401(k) assets. It is important that these deposits get sent in a timely manner. Instructions Please refer to the Appendix for instructions on how to send deposits to Charles Schwab or Matrix (the two custodians The Online 401(k) works with). Each client may be using a different custodian (Charles Schwab or Matrix). Please be sure you have indicated on your systems the correct custodian for each mutual client and that you have their account number. The choice of custodian is indicated on the New client 401(k) setup form. YOUR NEXT STEPS Step 1: Step 2: Step 3: Step 4: Step 5: Review this guide with your operational team. Submit a payroll file test. Submit a census file test. The Online 401(k) will approve the file test. Our integration is complete and we can move to the next steps in the implementation, which is completing your co-branded 401(k) Web site (we will provide you with our Quick Start Guide to your co-branded site to walk you through that next phase. The Online 401(k) Page 6 of 8 partnersupport@theonline401k.com

17 APPENDIX Instructions for sending 401(k) deposits to custodian If your client s 401(k) assets are held at Matrix: \ Instructions for sending 401(k) deposits by check: Make checks payable to: Reference on check memo line: Mail to (regular mail): MG Trust Company TPA , plan name (e.g.: Johnson Retirement Trust) MG Trust Company Attn: TPA P.O. Box Denver, CO Overnight/Special delivery: MG Trust Company Attn: TPA th Street, Suite 100 Denver, CO Instructions for sending 401(k) deposits by wire or ACH: Bank name: Matrix Capital Bank th Street, Suite 100 Denver, CO Routing/ABA #: Beneficiary account #: Account name: MG Trust Co., LLC. Beneficiary name: TPA , plan name If your client holds 401(k) assets at Charles Schwab: Instructions for sending 401(k) deposits by check: Make checks payable to: Reference on check memo line: Mail to (regular mail): Plan name (e.g.: Johnson Retirement Trust) Account number (Refer to New 401(k) Client Setup Form for account #) Charles Schwab & Co., Inc. RPS Operations for (plan name) Account number P.O. Box Phoenix, AZ Overnight/Special delivery: Charles Schwab & Co., Inc. RPS Operations for (plan name) Account number 2423 East Lincoln Drive Phoenix, AZ The Online 401(k) Page 7 of 8 partnersupport@theonline401k.com

18 Instructions for sending 401(k) deposits by ACH: Financial Institution: Bank One Account at Charles Schwab & Co., Inc. 101 Montgomery Street San Francisco, CA (800) Charles Schwab transit routing #: Prefix: Account #: Include your client s account # (Without dashes. Refer to the New 401(k) Client Setup Form for account #) Account type: Checking account For questions about sending 401(k) deposits on behalf of your clients, contact The Online 401(k) s Client Relations Group at: partnersupport@theonline401k.com or (877) K The Online 401(k) Page 8 of 8 partnersupport@theonline401k.com

19 Sharing a client Your role and service expectations Congratulations! We now have a shared client. What does that mean in terms of servicing and where do you fit in? We feel it is important that you understand where you fit in and how you can remain the face of the plan when you work with us. Here s what you need to know and what you can expect from us moving forward. Use this document as a checklist for a seamless sale and for a happy client! The Online 401(k) 530 Bush Street, 9 th Floor San Francisco, CA

20 Sharing a client Your role and service expectations Page two Before the sale When working with us on a potential prospect, you will want to think about the following key points: Before your client signs an agreement for service Roth, Safe Harbor, New Comparability are all options, make sure your client selects the appropriate option before signing the agreement. Work with your Regional Sales Director at The Online 401(k) to make sure your client is educated about the correct type of plan they are setting up. Let us be the 401(k) expert so you don t have to! Set the proper timelines and expectations for plan setup and billing. Please note that billing for the plan will start in the next billing cycle. An invoice may go out as soon as a week after the agreement for services is received. Normal plan implementation can be as soon as two weeks from plan design. Your assistance with setup and managing expectations is a great complement to our services! When we process an ACH, it takes 4 business days to initiate the draft and post to the account. It s important to set these expectations before the sale. Be sure to add this timing onto the guarantee you provide to transmit the files to us. After the sale What s your role in your client s management of the plan? How can you make sure you stay involved and informed? We are here to help! The Online Plan Design meeting is our streamlined process for creating the prototype plan document. We send a preparation guide for the meeting for you and the plan sponsor to review. During the Plan Sponsor Tour (our client training session), we notify the plan sponsor as to their ongoing duties as well as your own. We cover everything the plan sponsor needs to know as well as take any questions. You are notified after this meeting with the Custodial Account ID for our new mutual client. The Online 401(k) 530 Bush Street, 9 th Floor San Francisco, CA

21 Sharing a client Your role and service expectations Page three Ongoing client servicing inquiries The Relationship Manager is your main contact with The Online 401(k). You can always contact partnershipsupport@theonline401k.com should you have a detailed inquiry about your client. Our entire Partnership Team has access to this to help you. FAQ (Frequently Asked Questions) 1. How do I contact you if I have an inquiry? Here are YOUR contacts for support: Partner Support partnershipsupport@theonline401k.com OR Your Relationship Manager directly Your shared client can contact us through their participant or plan sponsor site s online inquiry feature for the quickest response or through Sponsor support: support@theonline401k.com Participant support: info@theonline401k.com 2. Why can t my client see his or her deferral in the online account right away? Participants will see their deferrals in their online account within ten days after deducted from their pay. Your client may not realize this and may call you to inquire about a deferral. We also prefer to take care of the deposit for you through our own ACH; both the data and assets are dependent upon each other for investing. Your submission of the payroll file initiates the draft of the client assets and starts the timeline for our investing. 3. What happens when a shared client signs up with The Online 401(k)? When we receive the Agreement for Services, we begin by inviting our new client to their Online Plan Design meeting. Within a month, the plan is set up and ready to accept funding. You will be notified automatically throughout the plan setup when it s time for you to begin processing. It takes two to create a successful relationship. We are pleased you have chosen The Online 401(k) as your 401(k) partner and look forward to working together with you to serve your clients. The Online 401(k) 530 Bush Street, 9 th Floor San Francisco, CA