---
kind: "section"
citation: "29 C.F.R. § 4204.12"
title: "29"
number: "4204.12"
heading: "De minimis transactions."
url: "https://uscodex.org/cfr/29/4204.12"
---

# §4204.12. De minimis transactions.


The criterion under this section is that the amount of the bond or escrow does not exceed the lesser of $250,000 or two percent of the average total annual contributions made by all employers to the plan, for the purposes of [section 304(b)(3)(A)](/cfr/29/304.md?p=b-3-A) of ERISA and section 431(b)(3)(A) of the Code, for the three most recent plan years ending before the date of determination.


## Notes

### Amendments

[61 FR 34084, July 1, 1996, as amended at 80 FR 55009, Sept. 11, 2015; 86 FR 1270, Jan. 8, 2021]

### Authority

Authority: 29 U.S.C. 1302(b)(3), 1384(c).

### Source

Source: 61 FR 34084, July 1, 1996, unless otherwise noted.

### Amendments

[61 FR 34084, July 1, 1996, as amended at 80 FR 55009, Sept. 11, 2015; 86 FR 1270, Jan. 8, 2021]