19 Del. Admin. Code § 2.0 - Definitions
The following words and terms, when used in this regulation, have the following meaning:
"Acceptable submission method" means an approved mode of submitting documents or information, as detailed on the Program website maintained by the program administrator.
"Account" means an IRA that has been established under the Program.
"Account holder" means an individual who maintains an account with the Program.
"Act" means the Board and Program enabling legislation set forth in 19 Del.C. Ch. 38, as the same may be amended from time to time.
"Automatic escalation" means an automatic annual increase to a covered participant's contribution rate.
"Beneficiary" means an individual, person, or entity entitled to receive the proceeds of an account upon the death of an account holder.
"Board" means the Delaware EARNS Program Board established under the Act, and, after the transition of duties and authority from the Delaware EARNS Program Board pursuant to the Act, the Plans Management Board.
"Capital preservation investment" means a money market fund or other conservative, highly liquid investment that is offered as an investment option in the Program.
"Code" means the Internal Revenue Code of 1986, as amended, and any U.S. Department of Treasury regulations, rulings, announcements, or other guidance issued thereunder.
"Confirmation notice" means a document sent by the program administrator to a covered participant confirming that the participant has been automatically enrolled into the Program.
"Confirmation of employer certification" means a record provided by the program administrator to a business entity that acknowledges receipt of an employer's submission of an employer certification regarding the employer's exempt status.
"Contribution" means moneys contributed to an account.
"Contribution rate" means the rate that is the percentage of wages used for calculating contributions to an account.
"Covered employee" has the meaning ascribed to it in 19 Del.C. § 3802. A covered employee may include a person who is employed full-time, part-time or per diem.
"Covered employer" has the meaning ascribed to it in 19 Del.C. § 3802.
"Covered participant" means a covered employee who is a participant in the Program.
"Custom automatic escalation" means an automatic annual increase to an account holder's contribution rate affirmatively selected by the account holder, subject to the limitations imposed by the program administrator or applicable law.
"Custom contribution rate" means a contribution rate affirmatively selected by a covered participant, subject to the limitations imposed by the Program or applicable law.
"Custom investment" means any investment option offered by the Program that is affirmatively selected by the account holder.
"Default automatic escalation" means a 1 percentage point annual increase in a covered participant's contribution rate at the beginning of each subsequent calendar year, up to a maximum of 10% of the covered participant's wages.
"Default contribution rate" means 5% of a covered participant's wages.
"Default investment option" means the investment option identified by the program that will receive contributions in the absence of an affirmative selection of a custom investment.
"Employee information" means the information relating to covered employees that a covered employer is required to provide to the program administrator to complete registration.
"Employee leasing company" means an employee leasing company, a professional employment organization, an employer of record service, or any similar entity that provides employee-related services or workers by contract and for a fee to a covered employer.
"Employer" means any person, partnership, limited liability company, corporation, or other entity engaged in a business, industry, profession, trade, or other enterprise in the State of Delaware, including a non-profit entity.
"Employer certification" means the certification submitted by an employer to the program administrator certifying that said employer does not meet the definition of a covered employer.
"Employer information" means the information relating to a covered employer's business that the covered employer is required to provide to the program administrator as part of registration.
"ERISA" means the federal Employee Retirement Income Security Act of 1974 [29 U.S.C. § 1001 et seq.], as amended.
"Exempt" means that an employer is not currently a covered employer.
"FEIN" means the federal "Employer Identification Number" provided by the IRS.
"Grant" means a needs-based small business support grant for eligible covered employers that require payroll software or similar products or support to implement the Program.
"Hold and sweep period" means a period after the end of the opt-out period during which time a covered participant's contributions are held in a capital preservation investment, unless the covered participant makes an affirmative election otherwise.
"IRA" has the meaning set forth in 19 Del.C. § 3802.
"IRS" means the Internal Revenue Service.
"Non-covered individual" means a person who is not a covered employee.
"Non-covered participant" means a participant who is not a covered employee.
"Non-payroll contribution" means a contribution that a participant remits outside of a payroll deduction contribution.
"Opt out" means a covered employee affirmatively declines the option of being automatically enrolled into the Program.
"Opt-out period" means the period of time following the provision of program information to a covered employee during which a covered employee may opt out of automatic enrollment into the Program.
"OST" means the State Treasurer of the State of Delaware or 1 or more authorized employees of the Office of the State Treasurer.
"Participant" means an account holder.
"Participate" means to have an account open with the Program.
"Participating employer" means a covered employer that is remitting covered participant contributions.
"Payroll deduction contribution" means a contribution made by a covered participant via a payroll deduction through a payroll deduction IRA arrangement with a participating employer.
"Program" means the Delaware Expanding Access for Retirement and Necessary Saving Program established under 19 Del.C. § 3801.
"Program administrator" means the third-party entity procured by the Board to provide recordkeeping and related services for the Program.
"Program information" means the document detailing the investment options and other Program features that has been approved for distribution to prospective participants. Participants are deemed to have read and understood all program information that they received prior to opening an account.
"Register" means the act of submitting registration information to the program administrator, as required by this regulation.
"Registration" means the process for covered employers to submit registration information to the program administrator.
"Registration date" means the deadline established by OST for a covered employer to either register or submit an employer certification.
"Registration information" means employee information and employer information.
"Registration notice" means the written notice that will be provided to certain employers directing the employers to either register with the Program or submit an employer certification by the registration date.
"Roth IRA" has the meaning set forth in 19 Del.C. § 3802.
"Specified tax-favored retirement plan" has the meaning set forth in 19 Del.C. § 3802.
"Traditional IRA" has the meaning set forth in 19 Del.C. § 3802.
"Wages" has the meaning set forth in 19 Del.C. § 3802.
"Work-site employee" means a covered employee contracted through an employee leasing company.
"Work-site employer" means any person, business, or other entity that procures the services of an employee leasing company under a contract, and which retains direction and control of the covered employee employees specified in the contract regarding responsibilities not specified in the contract pertaining to the business of the work-site employer.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
The following words and terms, when used in this regulation, have the following meaning:
"Acceptable submission method" means an approved mode of submitting documents or information, as detailed on the Program website maintained by the program administrator.
"Account" means an IRA that has been established under the Program.
"Account holder" means an individual who maintains an account with the Program.
"Act" means the Board and Program enabling legislation set forth in 19 Del.C. Ch. 38, as the same may be amended from time to time.
"Automatic escalation" means an automatic annual increase to a covered participant's contribution rate.
"Beneficiary" means an individual, person, or entity entitled to receive the proceeds of an account upon the death of an account holder.
"Board" means the Delaware EARNS Program Board established under the Act, and, after the transition of duties and authority from the Delaware EARNS Program Board pursuant to the Act, the Plans Management Board.
"Capital preservation investment" means a money market fund or other conservative, highly liquid investment that is offered as an investment option in the Program.
"Code" means the Internal Revenue Code of 1986, as amended, and any U.S. Department of Treasury regulations, rulings, announcements, or other guidance issued thereunder.
"Confirmation notice" means a document sent by the program administrator to a covered participant confirming that the participant has been automatically enrolled into the Program.
"Confirmation of employer certification" means a record provided by the program administrator to a business entity that acknowledges receipt of an employer's submission of an employer certification regarding the employer's exempt status.
"Contribution" means moneys contributed to an account.
"Contribution rate" means the rate that is the percentage of wages used for calculating contributions to an account.
"Covered employee" has the meaning ascribed to it in 19 Del.C. § 3802. A covered employee may include a person who is employed full-time, part-time or per diem.
"Covered employer" has the meaning ascribed to it in 19 Del.C. § 3802.
"Covered participant" means a covered employee who is a participant in the Program.
"Custom automatic escalation" means an automatic annual increase to an account holder's contribution rate affirmatively selected by the account holder, subject to the limitations imposed by the program administrator or applicable law.
"Custom contribution rate" means a contribution rate affirmatively selected by a covered participant, subject to the limitations imposed by the Program or applicable law.
"Custom investment" means any investment option offered by the Program that is affirmatively selected by the account holder.
"Default automatic escalation" means a 1 percentage point annual increase in a covered participant's contribution rate at the beginning of each subsequent calendar year, up to a maximum of 10% of the covered participant's wages.
"Default contribution rate" means 5% of a covered participant's wages.
"Default investment option" means the investment option identified by the program that will receive contributions in the absence of an affirmative selection of a custom investment.
"Employee information" means the information relating to covered employees that a covered employer is required to provide to the program administrator to complete registration.
"Employee leasing company" means an employee leasing company, a professional employment organization, an employer of record service, or any similar entity that provides employee-related services or workers by contract and for a fee to a covered employer.
"Employer" means any person, partnership, limited liability company, corporation, or other entity engaged in a business, industry, profession, trade, or other enterprise in the State of Delaware, including a non-profit entity.
"Employer certification" means the certification submitted by an employer to the program administrator certifying that said employer does not meet the definition of a covered employer.
"Employer information" means the information relating to a covered employer's business that the covered employer is required to provide to the program administrator as part of registration.
"ERISA" means the federal Employee Retirement Income Security Act of 1974 [29 U.S.C. § 1001 et seq.], as amended.
"Exempt" means that an employer is not currently a covered employer.
"FEIN" means the federal "Employer Identification Number" provided by the IRS.
"Grant" means a needs-based small business support grant for eligible covered employers that require payroll software or similar products or support to implement the Program.
"Hold and sweep period" means a period after the end of the opt-out period during which time a covered participant's contributions are held in a capital preservation investment, unless the covered participant makes an affirmative election otherwise.
"IRA" has the meaning set forth in 19 Del.C. § 3802.
"IRS" means the Internal Revenue Service.
"Non-covered individual" means a person who is not a covered employee.
"Non-covered participant" means a participant who is not a covered employee.
"Non-payroll contribution" means a contribution that a participant remits outside of a payroll deduction contribution.
"Opt out" means a covered employee affirmatively declines the option of being automatically enrolled into the Program.
"Opt-out period" means the period of time following the provision of program information to a covered employee during which a covered employee may opt out of automatic enrollment into the Program.
"OST" means the State Treasurer of the State of Delaware or 1 or more authorized employees of the Office of the State Treasurer.
"Participant" means an account holder.
"Participate" means to have an account open with the Program.
"Participating employer" means a covered employer that is remitting covered participant contributions.
"Payroll deduction contribution" means a contribution made by a covered participant via a payroll deduction through a payroll deduction IRA arrangement with a participating employer.
"Program" means the Delaware Expanding Access for Retirement and Necessary Saving Program established under 19 Del.C. § 3801.
"Program administrator" means the third-party entity procured by the Board to provide recordkeeping and related services for the Program.
"Program information" means the document detailing the investment options and other Program features that has been approved for distribution to prospective participants. Participants are deemed to have read and understood all program information that they received prior to opening an account.
"Register" means the act of submitting registration information to the program administrator, as required by this regulation.
"Registration" means the process for covered employers to submit registration information to the program administrator.
"Registration date" means the deadline established by OST for a covered employer to either register or submit an employer certification.
"Registration information" means employee information and employer information.
"Registration notice" means the written notice that will be provided to certain employers directing the employers to either register with the Program or submit an employer certification by the registration date.
"Roth IRA" has the meaning set forth in 19 Del.C. § 3802.
"Specified tax-favored retirement plan" has the meaning set forth in 19 Del.C. § 3802.
"Traditional IRA" has the meaning set forth in 19 Del.C. § 3802.
"Wages" has the meaning set forth in 19 Del.C. § 3802.
"Work-site employee" means a covered employee contracted through an employee leasing company.
"Work-site employer" means any person, business, or other entity that procures the services of an employee leasing company under a contract, and which retains direction and control of the covered employee employees specified in the contract regarding responsibilities not specified in the contract pertaining to the business of the work-site employer.