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Group: I'm a new user to ftwilliam software. Even though I've drafted and worked with a number of S ESOP plan documents over the years. Ftwilliam seems to be one of a few firms in 2021 with an IRS Pre approval letter they received for their ESOP Plan document which was dated June 2020 from IRS. (ftwilliam didn't release the letter to users until Mar 2021) Even with the pre approval letter are you (as ESOP practitioners) still filing an application for determination of initial qualification (form 5300? 5307?)? Thoughts and comments appreciated.

Try looking at DOL FAB 2006-01. Pages 8 and 9... DOL says "it might be appropriate for a plan fiduciary to not accept the settlement distribution". We had this situation a few years ago. They sent the checks back... interestingly 4 checks for about $1,400. Never heard anything after that. fab2006-1.pdf

Sure, you can use any of the 415 safe harbor definitions of comp. If the question is, can you use the shareholder's passthrough income reported on their Schedule K-1, that answer is NO.

I think they apply all the more to a one-participant plan, because that is where there would be the most potential for abusing the plan as a temporary "piggy bank."

I couldn't settle for 28 million per year. Too big a cut from what I make now. Everyone knows that the best way to get rich is to work in a TPA office. 😁