Compliance Testing

[Guest AlanB]

From my plan documentation:

a "key employee" is defined as an employee meeting any of the following criteria:

• An officer of the company earning compensation of more than $130,000

• A 5% owner of the company

• A 1% or more owner of the company projected to earn more than $150,000

My employees are all employees and not "officers".

Here is a link to the info from their site:

www (dot) 401k-management (dot) com/pc/index.html

I've been reviewing the compliance section.

"Has your plan been amended for the automatic rollover rules". Don't know but I intend to ask.

Bottom line - I am moving to a TPA. I have been sufficiently scared!

[Mike Preston]

And now we know why you are a successful small business owner.

Best of luck!