Leaderboard

if I have a last day rule then someone who terminated does not show on the ACP test if I have an hours requirement and they fail hours they do not show on the ACP test. I guess if they defer less than 5% they can't get a match so they don't show on the ACP test. however, for coverage any actives in that group are includable and not benefiting, and any terminees > 500 hours as well. while you may not have many NHCEs, if none can take advantage of this there may be issues., which ultimately is the point Lou is raising.

Let's take it one step further. I have actually seen this written up this way. Company A has no match Company B has a 100% match. so now the guy defers 24000 at company B. He takes the whole amount as excess deferral from A, and gets a full match from B on top of that! you'd be crazy not to do it that way. of course what is not addressed is what the plan document says. neither plan has violated excess deferrals, so unless the plan has a provision for removing excess deferrals should it arise due to unrelated plans you have issues my concern in the original question is that you have a one month plan year. so comp for testing is only 22,083.33 (1/12 of the comp limit) I'd be surprised in a situation like that the refund wasn't more.

Among the many questions you might ask for your ERISA lawyer's advice: Does the plan permit or restrict an assignment of a participant's claim? If the plan permits any assignment, does it restrict permissible assignees to healthcare providers? Even if the plan permits an assignment of a claim, does the plan's claims procedure permit (or preclude) an assignee from acting as a claimant's representative?

MM - I think you are misunderstanding what the "next payment interval" means here. The next payment interval ends on 4/1/2016. Note that this IS in the next calendar year, which means you don't have to make a second payment by 12/31/2015. The annuity payment interval cannot be longer than annual. So, you commence the RMD on 4/1/15, under an annual payment annuity payout. Let's just assume that the annual annuity payment will be $10,000 per year for life. April 1 of 2015, the recipient receives the first annual payment of $10,000. He does NOT have to receive a second payment by 12/31/15, because you are using the annuity payment method. HOWEVER, the next payment of $10,000 must be made April 1, 2016 (because the payment interval is annual.) It can NOT wait until 12/31/2016. The reason no one has been using 12/31/2016 is that this would fail to satisfy the minimum distribution requirement. Hope this helps.