Record Retention Requirements & Considerations
Employers often ask, "How long should I retain my employee benefits-related records?"
It comes as no surprise that there is not an easy answer to this question because of the applicability of different laws, regulations, and situations specific to a particular business.
For example, depending on the type of records being retained ERISA, the ACA, and the Internal Revenue Code all impose specified record retention requirements. In addition, states may also impose document retention standards. Finally, having records necessary to defend the employer in the event of a lawsuit must also be considered.
Very few employers are going to align record-keeping procedures specifically with each existing requirement. Rather, most will create an easier-to-administer approach that maintains most records for a minimum specified period. Understanding the details of certain requirements will help employers better design an approach that is manageable and that minimizes risk to the employer.
Read more below.