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Money Purchase Plan Restated To Profit Sharing Plan


Guest tbt
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HAVE A PUBLIC BENEFIT CORP CREATED BY THE STATE, HAS BEEN MAINTAING MONEY PURCHASE PLAN SINCE 89. I HAVE LITTLE KNOWLEDGE ON GOV PLANS AND I AM BEING ASKED TO TAKE OVER ADMINISTRATION. I WOULD LIKE TO GO TO A PROFIT SHARING PLAN WITH A FUNDING FORMULA SPECIFIED IN ADOPTION AGREEMENT. THE QUESTION I HAVE IS THIS.

IS THIS AUTHORITY ABLE TO EXECUTE AN ADOPTION AGREEMENT, WHERE THE SECRETARY & TREASURER OF THE AUTHORITY ARE TRUSTEES? THE AUTHORITY IS MADE UP OF MEMBERS WHO SERVE ONE & TWO YEAR TERMS. I WOULD LIKE TO MAKE THE TRUSTEE LANGUAGE A DEFACTO DESIGNATION BY POSITION.

ANY GUIDANCE WOULD BE APPRECIATED!!

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Need to review authority of officers to act on behalf of corp with counsel for corp. Most pension plans must be adopted, amended or terminated by Board action. In some cases officers can adopt a plan/ act as trustees subject to ratificaton by Board at a later date.

mjb

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THE BOARD VOTED TO MAKE AN ADMINISTRATION CHANGE AND INVESTMENT CHANGE. I HAVE THAT BOARD RESOLUTION, BUT HERE IS WHERE MY TROUBLE BEGINS.

I RESTATE THE MONEY PURCHASE PLAN TO A PROFIT SHARING PLAN USING A STD PROTOTYPE, BUT THE OLD DOCUMENT LISTS THE TREASURER AS TRUSTEE AND HE HAS SINCE BEEN REPLACED. I CAN LIST THE CURRENT TREASURER AND SECRETARY, BUT IN TWO YEARS THEY MAY NOT BE IN THOSE POSITIONS. I COULD BE REMOVING AND ADDING TRUSTEES YEARLY, WHICH I WANT TO AVOID.

SO I THOUGH I WOULD LIST THE TRUSTEE AS "THE ACTING TREASURER & SECRETARY AS DESINATED BY THE BOARD" OR SOMETHING TO THAT EFFECT.

YOU SEE WHERE I'M COMING FROM!!!

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