The decision problem is to identify the actual structure before evaluating shared administration. A multiple-employer arrangement may involve one plan or multiple plans; a statutory pooled employer plan (PEP) is a single defined-contribution plan with a pooled plan provider (PPP). Then identify each natural-person handler and allocate required protection to each plan rather than assuming one master bond resolves the issue. 29 U.S.C. §1002(2), (43)–(44) U.S. Department of Labor Information Letter, Sept. 7, 2022
Determine structure, handlers, and allocation in order
- 1Confirm that an employee pension benefit plan exists.
- 2Determine whether Title I covers it and whether Part 4 applies.
- 3Identify the plan’s funds or other property.
- 4List every natural person whose actual functions amount to handling.
- 5Test exemptions person by person; an exempt institution does not exempt other handlers.
- 6Calculate each handler’s amount and verify form, surety, and current reporting materials.
MEP: decide whether there is one plan or more than one
“MEP” describes participation by multiple employers, but the documents and governing facts must establish whether there is one ERISA plan or multiple plans using common administration. That determination affects which plans must be named and how protection is allocated. Section 412 remains person- and plan-specific in either structure. 29 U.S.C. §1002(2) 29 U.S.C. §1112 FAB 2008-04, Q23–Q25
PEP: identify the statutory structure before applying §412
ERISA defines a PEP as a single defined-contribution plan meeting §1002(43), and defines the PPP separately in §1002(44). The PPP must be a named fiduciary and plan administrator. That structure differs from a loose multiple-employer label and changes which dedicated amount and responsibility rules must be reviewed. 29 U.S.C. §1002(43)–(44)
Shared administration does not create a shared exemption
Whether the arrangement is one plan or several, identify every natural-person handler and test exemptions person by person. If one bond covers multiple plans, each plan must receive the protection it would have received under a separate bond. One master certificate or institutional relationship does not resolve those questions. 29 C.F.R. §2580.412-6 FAB 2008-04, Q23–Q25 and Q39–Q40
Methodology, source review, and next step
This is an educational federal §412 screen, not a determination of tax qualification, fiduciary prudence, state-law duties, or actual bond or insurance-contract coverage. The official sources are reviewed as of the date shown above. After identifying a nonexempt handler, use the ERISA bond requirements guide for form, surety, and current reporting review and the amount guide for the handler-by-handler calculation. 29 U.S.C. §1112 29 C.F.R. §2580.412-11