SPD

summary plan description (SPD)

USA

A written summary of an employee benefit plan that informs participants and beneficiaries of their rights and obligations under the plan.

The Employee Retirement Income Security Act of 1974 (ERISA) and related regulations specify the information that must be set out in a summary plan description, including:

• The name of the employee benefit plan.

• Eligibility requirements for participation in the plan.

• Benefits available under the plan.

• A statement of the participants' rights under ERISA.

A summary plan description must be written in plain language so that it can be understood by the average plan participant.