Does anyone know how repayments on a participant loan that is the subject of a participant loan failure submitted via VCP should be handled pending the issuance of a VCP compliance statement?

403(b) plan with a profit sharing component. There are 2 HCEs with around 120 NHCEs in the plan.

The ER wants to add a provision in the document that in the 13th year of participation, a special $5,000 profit sharing contribution will be made to those individuals in their 13th year. I'm not sure if this is in addition to the regular PS contribution or, for those 13 year participants, this takes the place of their PS contribution for that year.

(1) Can something like this be written into a prototype-style document?

(2) Is this a valid contribution formula

(3) What if in year 13 both HCEs are eligible and maybe only 5 NHCEs are eligible. Would that still fly?

Thanks for any comments.

does anyone recommend a document provider if i only need one document?

That is, is there a doc provider that accomodates such a situation at a reasonable fee, inclusive of amendment updates, etc.

The plan sponsor has a prior plan doc, but no longer uses their prior pension consultant and thus the plan needs to be restated by 4/30.

So on behalf of plan sponsor I would prep an egtrra doc (form a doc provider) and submit by 4/30.

thanks

I have a small plan that uses an end of year valuation (typically 12/31), but is terminating the plan at the end of March (3/31). They use segment rates with a 3 month lookback from the valuation date to value the funding target. They expect to pay out the full assets by the end of August (8/31) within the same year.

Based on this, what would I use as the final valuation date to determine the minimum and file on the Schedule SB, 3/31/2012, 8/31/2012 or 12/31/2012? If not 12/31, how do I do the lookback to determine the segment rates?

Can a long term care plan just cover employees who are grade 18 or above ?

Is it clear that an LTC plan is indeed an ERISA plan?

An employee of ours is covering his age 24 daughter. She just got a job and wants to enroll in her new employer's plan. Our employee wants to also to continue to cover her under our plan since there is no extar cost to him to do so.

If she enrolls in her new employer's plan, must we continue to cover her?

After using Relius Administration for a number of years, I was surprised to learn that PEWin apparently doesn't know that a participant who terminated after reaching the plan's retirement age should be considered "retired" and potentially receive a contribution for the year based on the plan's waiver of allocation conditions. Is there really no way to do that other than to mannually look at each terminated participant's date of birth and change their status to retired?

Where can i find the 2014 PPA Mortality Tables?? Thanks.

For a person retiring on 12/31/2015 at retirement age 55 who's average compensation has allways been above the Annual Limit on Includible Compensation, what would the maximum monthly Defined Benefit as of 12/31/2011? I'm a little confused on that calculation.

Thank you.

hello everyone!

Hopefully an easy question. If a law firm provides services to a retirement plan (specifically, to the plan sponsor/administrator of that plan, a company client), are we required to send a disclosure under the final 408 regulations? Are we a covered service provider? I can't confirm whether or not that's the case anywhere. Any suggestions or authority would be appreciated. Thank you!

Sole proprietor funded SIMPLE IRA fully (11,500 EE and 11,500 er match) for 2011 in September 2011. Net self employment income supports an ER matching contribution of only $3,765....$7,735 excess er matching contribution. Looks like under EPCRS the excess, plus earnings, can be removed without penalty under self correction. Does this sound correct?

What if I want to be pbgc covered so I can skirt the combined plan limit? Is there code that prohibits this? It seems too good to be true and if allowed, everybody would do it. Thoughts?

I'm thinking about buying some testing software. I'm a freelance consultant. I don't administer plans, but I do some DC plan testing now and then - 410(b), general testing, ADP & ACP, etc. Sometimes I test one year for a client, sometimes several years - usually in the context of EPCRS work. Up until now, I've done it in Excel, but I'm getting into some bigger plans and some bigger controlled groups with more plans and more testing issues, and I want to use commercial software to check my work.

So, I've used Relius and Datair in the past and I'm looking into both of them now. The Ft William thread got me thinking maybe I should look beyond just those two. Ft William seems well-liked, and their pricing looks competitive - especially for someone like me that might just buy it for a year at a time here and there. It also seems to be web-based, and I like that.

Can anyone confirm or deny any of the above re Ft William and/or suggest any other software worth considering besides the three I've mentioned? Thanks for your time.

Does anyone know the potential liabilities for employer or participant if the 20% withholding is not deducted from an eligible rollover distribution?

A practicing physician has a one member LLC with schedule C income of $350,000. The physician owns another one member LLC that is a retail business with Schedule C income of -$180,000. Both incomes are included in the physicians Schedule SE tax tax form.

How much is this person's covered compensation for 401(k) plan purposes?

Thank you

On behalf of a CPA friend of mine I am posting this question. Quite frankly I am not sure there is an answer.

Ten years ago an individual opens what he believes was ROTH IRA with a local institution. Each of the 10 years, the individual makes an annual contribution to the IRA. Each annual contribution is accounted for as a Roth Contribution for tax purposes, etc.

The individual changes CPA's and the new CPA doing his applicable due dilligence in taking over a new client discovers that the supposed Roth IRA established ten years ago was in fact established as a traditional IRA and not a Roth IRA.

The CPA tells me he can amend returns for a period of three years.

Any idea how to handle the other 7 years of incorrectly reported contributions?

If a plan was established as a single employer plan before 1989, but after 1988 the plan sponsor became a member of an affiliated service group and the other ASG members adopted the plan so that it became a multiple employer plan after 1988, is the plan treated as a plan established after 1988 for purposes of IRC 413©(6)(A) so that each participating employer separately calculates its deduction limit under IRC 404?

Or is it only the original effective date of the plan, regardless of whether it was a single employer plan or multiple employer plan as of the date it was established, that dictates its classification for purposes of IRC 413©(6)(A)?

Does anyone know of any guidance on this issue?

Frozen DB experiences 21% of it's active participant count transferring to a sister company (member of controlled group) not covered by the plan. Is this a 20%+ drop in the active participant count, requiring a PBGC Form 10 filing?

We have an ERISA attorney reviewing a dc document (it's a new comparability plan), and he is questioning the gateway allocation. The plan has last day and 1,000-hour requirements and is providing 3% SH.

There are two participants who received a 3% SH but have terminated employment before year end and both are in the covered test.

The ERISA attorney is having a hard comprehending that those two participants require a gateway minimum (5% in this example) because the document does not explicitly state the gateway minimum overrides the last day/1,000- hour requirements. The gateway definition only states that it must be give to NHCEs.

He further says that since this is discretionary contribution, the HCEs should lower their allocation (ie to 9%) instead of having to give those two participants an additional 2%.

Any opinion would be appreciated.

Thanks

The program says you are not eligible if you have recieved a notice of intent from the DOL. Does anyone know if that means I am ineligible to file for all years. For example, if I recieve a notice of intent for 2009, can I still file under DFVC for 2008?

In addition, if I do file and I am not eligible. by filing and sending in my check, have I waived my ability to argue reasonable cause for the 2008 year?

Has anyone been through this or know how the DOL will apply?

Thanks