I have a client who has an employee assistance plan that provides counseling for basically all employees. The company has one provider and simply gets a billing when anyone uses the service, the employer pays 100% of the cost. The company does not know who was treated or for what. This company has over 100 employees who would be eligible to participate. Should this be reported on the Form 5500.

Assuming that the EAP is actually providing counseling, a Form 5500 is probably required. The one citation that I can provide is DOL Advisory Opinion 91-26A. There are probably other Advisory Opinions on this issue as well.

Assuming that the EAP is subject to ERISA, the client may wish to confirm that the EAP is in compliance with the documentation and disclosure requirements of ERISA. My experience is that EAPs fall short in this area. Using a “wrap document” is one approach that employers use to address any shortcomings.