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This is addressed in the DOL VFCP and PTE 2002-51. You can only give the excise tax amount to the participants and not file a 5330 if: 1. The excise tax is $100 or less 2. You make a VFCP filing with DOL. 3. As part of the VFCP filing you provide the DOL a copy of the 5330 you would have filed with IRS but for this exception. IMHO I'd rather file the 5330 and pay the tax.

oh great, now you want to follow the terms of the document all of a sudden

Just a hunch, but it's possible the original poster might be confused by some of these responses. Here's my summary (which may not be complete): In general, most plans permit a payment only upon limited circumstances: severance of employment, death, disability, etc. (The plan is not a piggy-bank; it's designed for long-term retirement needs, not short-term cash-flow.) Some plans offer the ability to make a loan to a still-employed participant, generally repaid thru payroll deductions. No plan is required to offer this feature. As stated above, it's trading one debt for another, so may not address your larger problem. Some plans offer the ability to take an in-service payment if you are still employed beyond a specific age (such as 65). It's not required. A QDRO ("qualified domestic relations order") might create the right to an "early" payment, but that may not be productive since it is for the purpose of fulfilling a domestic relations order. Most DRO's are related to divorce/separation, and a few are related to child support. Generally, a QDRO will create the ability for someone else to get a payment (ie, spouse/ex-spouse, child's guardian, etc.), rather than a payment to you. It's also possible that the plan itself could limit the timing under a QDRO (for example, not prior to the time the participant could get a benefit); if so, the QDRO is not permitted to alter this plan provision. If this is a defined benefit plan, the plan may permit a payment only in the form of an annuity (ie, monthly payments), and will not permit any type of lump sum, even with a QDRO. Declaring bankruptcy will (probably) not create any mechanism to speed up any payment to you. If this is a defined contribution plan, as stated above, the plan may have a provision that permits hardship distribution. There are tax consequences. Read your summary plan description.

I doubt it will be repealed, but it will probably be delayed and modified. There is nothing earth shattering about that. If memory serves me right, GWB's DOL had a a fiduciary rule all but ready when O's DOL scrapped it and started over. I expect some changes, but this is the way the industry has been trending anyway. There are some sections of the rule that I'm sure some will be thrilled to do away with though.

Lots of talk - I'll believe it when I see it. In the case of the company I work for, it's full steam ahead to comply REGARDLESS of whether the rule is repealed, delayed, modified, or any combination of the foregoing. It is perceived as "the right thing to do" and is expected to be a competitive advantage in the marketplace against those who do otherwise.

See this Link for a prior discussion: http://benefitslink.com/boards/index.php/topic/48332-late-deposits/#entry211802 The guidance is informal and never been confirmed that I know of, but we give the amount of the excise tax to the participants as extra lost earnings if the amount is small. Just don't ask me what small or de minimis is.

How does your document define an Hour of Service and/or Eligibility Service? I don't know offhand if it's permissible to exclude the union service for allocation purposes -- my guess would be not -- but your document may not even give you the option.

BenefitsLink mavens, the third paragraph paterinick's originating query suggests some possibility that the plan might be a governmental plan. "ASRS" might refer to the Arizona State Retirement System. And the "got switched" might refer to Arizona's or another State's change from a defined-benefit pension plan to an Optional Retirement Plan for a State university's faculty and administrative employees. For a governmental plan, it might be true that an employing unit's human-resources person lacks authority. Likewise, it's not uncommon for a governmental plan to contract for an investment custodian or recordkeeper to perform almost all plan-administrator functions.

Information on In-Service Withdrawals, if allowed, will be in your Plan's Summary Plan Description which you should already have. You answer is likely in there. As others have said, check with your HR on plan provisions but Fidelity is probably correct in this case.

For vesting all the hours count always. That is the only reading of the DOL regulations about vesting and hours. I don't remember how that goes with the allocations.

The Plan document should specify the sources used for a distribution. The default ordering in our PPA VS document is pro-rata from all sources. If the participant has both pre-tax and Roth deferrals, they can elect what portion of the distribution from the salary deferral source is from Roth and what portion is from pre-tax. The adoption agreement has selections that let you modify how the Roth portion is handled. The base document also allows a separate written distribution procedure to specify a different ordering.

Both are subject to RMD rules. How they take it depends on the Plan. If both are in same plan I bet the TPA requires the amounts to be prorated on money types. If they are two different plan you could take from just the 401K as long as you take the amout attributable to both balances.