MSN Posted September 30, 2009 Report Share Posted September 30, 2009 Just curious...What is everyone doing about the new 402(f) notices? Are you taking the IRS models as is, combining them into a single document, updating the old notice with new info? Link to comment Share on other sites More sharing options...
Belgarath Posted September 30, 2009 Report Share Posted September 30, 2009 Taking them as is and combining into a single document, with some VERY minor modification. Link to comment Share on other sites More sharing options...
Below Ground Posted September 30, 2009 Report Share Posted September 30, 2009 Belgarath - Sounds like you are doing the common sense thing. Why wasn't it done that way in the 1st place? Having braved the blizzard, I take a moment to contemplate the meaning of life. Should I really be riding in such cold? Why are my goggles covered with a thin layer of ice? Will this effect coverage testing? ERPA, QPA, QKA Link to comment Share on other sites More sharing options...
pmacduff Posted September 30, 2009 Report Share Posted September 30, 2009 That was my argument as well, why not one notice?!?!? We will be combing into one doc! Link to comment Share on other sites More sharing options...
Guest Sieve Posted September 30, 2009 Report Share Posted September 30, 2009 Certainly don't need the Roth portion of your combined Notice if there's no Roth availability. What's wrong with just handing out the appropriate notice--Roth, non-Roth, or both--depending on the accounts the terminated participant has? Is your single Notice now 14 pages long (or 6 pages of 8-point type)? Link to comment Share on other sites More sharing options...
Belgarath Posted September 30, 2009 Report Share Posted September 30, 2009 Nope, only 7 pages front and back. We combined it because we didn't want any potential errors where the wrong one got sent out with the wrong plan type. Link to comment Share on other sites More sharing options...
GMK Posted September 30, 2009 Report Share Posted September 30, 2009 We found that printing it 2 columns per page, like a 2 column newspaper, requires fewer sheets of paper. It can be a little fussy to edit, but IMO it's easier to read, and as I said, takes less paper. And we print both sides of the paper. Link to comment Share on other sites More sharing options...
Guest Sieve Posted September 30, 2009 Report Share Posted September 30, 2009 OK, Bel. 14 pages. But, I can see it preventing potential problems. Link to comment Share on other sites More sharing options...
pmacduff Posted September 30, 2009 Report Share Posted September 30, 2009 We also print them 2-sided. We have more and more of our larger plans with both pre-tax and roth so it would be a hassle (and kill many trees) to provide 2 notices to all the terminees. Not to mention if you forgot one or sent the wrong one as Belgarth mentioned. Simplification is the name of the game.... Link to comment Share on other sites More sharing options...
SMB Posted October 1, 2009 Report Share Posted October 1, 2009 Is there a resource for an MS Word version of the new notices than can downloaded or copied and saved and edited? Link to comment Share on other sites More sharing options...
Below Ground Posted October 24, 2009 Report Share Posted October 24, 2009 You can copy under Windows Explorer, which sends to clipboard. Then open a Word document and paste as found under "Edit". Then save as word document. Having braved the blizzard, I take a moment to contemplate the meaning of life. Should I really be riding in such cold? Why are my goggles covered with a thin layer of ice? Will this effect coverage testing? ERPA, QPA, QKA Link to comment Share on other sites More sharing options...
Guest R Plank Posted November 9, 2009 Report Share Posted November 9, 2009 Taking the two notices and putting them in two tables in a word doc worked for me. The draft copy had very few adjustments to it. Roth on one side and non-roth on the other with 6 point font made it 5 pages total. Link to comment Share on other sites More sharing options...
K2retire Posted November 9, 2009 Report Share Posted November 9, 2009 Isn't there are rule about it being readable? 6 point type would negate that possibility for most of us! Link to comment Share on other sites More sharing options...
MSN Posted November 10, 2009 Author Report Share Posted November 10, 2009 I've consolidated the notices to eliminate duplication and have this down to a single 5 page document in 8.5 font. If you would like a copy, email me. Link to comment Share on other sites More sharing options...
Guest R Plank Posted November 10, 2009 Report Share Posted November 10, 2009 Our previous STN had I swear 3pt font! You seriously need a magnifying glass to read it! Link to comment Share on other sites More sharing options...
Guest vijendrasnv Posted November 13, 2009 Report Share Posted November 13, 2009 Hi, First thing i don't understand that why we not get the whole document together. and also few updates and corrections are required in the doc. Link to comment Share on other sites More sharing options...
GMK Posted November 16, 2009 Report Share Posted November 16, 2009 First thing i don't understand that why we not get the whole document together. Sieve answered that in post 5, above. and also few updates and corrections are required in the doc. For those of us who did not read carefully enough, what errors do you find? Link to comment Share on other sites More sharing options...
GMK Posted November 30, 2009 Report Share Posted November 30, 2009 This probably isn't news to anyone on these boards, but ... while the federal rules eliminate the $100,000 income limit for conversions/rollovers to Roths, some income-taxing states have not federalized their rules and still have severe penalties. The federal model notices specifically state that state laws are not discussed, but if you are in a state where the income limit still applies, it might save you some later troubles and explaining if you put something in the notice about how the over-$100,000 people can be charged on-going penalties. For example, "Beginning in 2010, you can do a rollover to a Roth IRA regardless of your income, but not in Wisconsin." Link to comment Share on other sites More sharing options...
MSN Posted December 1, 2009 Author Report Share Posted December 1, 2009 GMK- Do you have a list of non-conforming states? Link to comment Share on other sites More sharing options...
GMK Posted December 1, 2009 Report Share Posted December 1, 2009 Sorry, MSN. I've looked for such a list but haven't found it yet. Maybe someone else out there has one. I think you have to contact your own state's department of revenue or check their web site to find out whether the state has passed any conforming legislation. And then, check if the state left any items unconformed. For example, states need money now, so they may require a 2010 distribution to be included as taxable income in 2010, rather than allowing it to be spread over 2011 and 2012. It's probably worth doing the research, so you can edit your rollover options notice, if necessary, to warn the $100k+ folks before they get hit with something like a 2% state penalty for excess contribution to a Roth every year until the excess contribution is withdrawn or a state penalty for early withdrawal. Seems like it would be easier to tell them beforehand than to try to explain afterwards why you didn't put it in the notice, but that's just me. Link to comment Share on other sites More sharing options...
GMK Posted March 16, 2010 Report Share Posted March 16, 2010 "Your Rollover Options" no longer needs footnotes in Wisconsin: http://www.jsonline.com/business/87687797.html (Please pardon the generally fun-to-read but misinformed and/or grumpy comments following the article.) Link to comment Share on other sites More sharing options...
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