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Hello all and thank you for the responses. I found the attached on the IRS website, which explains it well and supports our situation perfectly. 415 limit example.docx

That is fairly accurate, although I'm not sure what the last clause says... ...and that's where your argument breaks down. Catchups are determined when exceeding any one of several limits (or testing failures), including 415 - not just 402(g). A participant can make a $6500 contribution and have it all be catchup if employer contributions = $57,000.

Tried to post this before, but I think I botched it. Spirit - you may find this post helpful:

Some of them do - and will allow a one-time purchase by an interested parties. Many attorneys do this for their few clients who need a document. The problem is still "maintenance." Who is going to keep track of required amendments? How will other amendments be handled? To the OP - if a service provider doesn't provide document services, find another service provider. And as for using the prior's document, it's probably copyrighted, and there may be contractual issues as well as the issues posted by others.

Yes

You may be able to continue to use the prior recordkeeper plan document, if they allow it. But even if they do allow it, they will probably not maintain it for your plan... amendments (required or otherwise), restatements, etc. You will probably have to go looking for a new plan document, especially since restatements are now in "cycle".

That's for loans.

Florida imposes a tax that Florida’s Revenue department describes as a “documentary stamp tax”. But each of its tax rates refers to the transaction and its amounts involved. https://floridarevenue.com/Forms_library/current/gt800014.pdf Discussions in BenefitsLink have considered whether and how Florida’s tax might apply to an individual-account retirement plan’s participant loan.

I agree that it can be used for 2020. But tell them to be careful of the deduction and the deposit.

yes and yes

Well, we know a voluntary amendment fee (for a change in eligibility, etc) is a settlor cost. So a change in recordkeeper (since it's voluntary), I would say we start with "no" as the answer. But if the sponsor and trustee document that it's a good fiduciary decision and in the best interest of the participants, I think the case could be made that it's a valid expense.

If it's the current required restatement, then the plan can pay the cost.

Thank you all 🙂

Often, the sponsors of the documents will also provide interpretation of the document to some degree. Or rather, they go back to the document's author (Relius, FT William, etc) with help for support. If the plan sponsor is no longer a client, the record keepers won't support it any more. Also, I sincerely doubt the new record keeper or TPA will want to do required amendments to plan docs they do not directly service. Can the cost of the new plan document be passed onto the participants? Or is that a settlor function?

Just a curiosity: Does a publisher of IRS-preapproved documents (which I imagine gets most of its revenue from licenses with retirement-services providers and other intermediaries) also allow purchases directly by an employer or plan sponsor?

There is no need for your new document to be anything other than pre-approved.

We are (finally!) going to e-signatures using DocuSign. Ftwilliam has a white paper citing specific Rev Procs that all e-signature for prototype and volume submitter. I'm attempting an attachment...E-signatureWhitePaper.pdf

(screaming) who was handling this in the past - the client, a CPA, or I hope not a TPA?!

Wouldn't you just do a $42,000 profit sharing contribution... then total additions for the year is $60,000... then since over the $54,000 limit, $6,000 of the 401k deferrals are now catch-up. In other words, none of the $18,000 is re-characterized as catch-up until the $54,000 limit is exceeded. Hope I got this right. 401k deferrals can be re-characterized as catch-up upon ADP failure, statutory limits, or plan limits.

No, this is a common mistake. They can only receive a $26,687.27 profit sharing contribution. There is no $63,500 combined limit. There is a $57,000 annual addition limit. The catch-up contribution is not included in the annual addition limit and the catch-up contribution limit only applies to those contributions. The employee deferral is capped at $19,500 and the catch-up contribution = $22,000 - $19,500 = $2,500. The remaining $6,500 - $2,500 = $4,000 is unavailable. The maximum profit sharing contribution = $57,000 - $19,500 - $10,812.73 = $26,687.27.