I blew right through the July 15 due date for our second quarterly contribution. Pay it right away first and then what? Do I have to fess up to the employees? to the guvmint?

Plan Year end for this Plan was 9/30/09, but is switching to calendar year. So, now there is a short plan year 10/1/09-12/31/09, which we indicated on the 5500SF in the dates and in Part IB. Have received the following Error message after submitting -

X-112 ERROR Fail when the Filing Header, Sponsor Signature date is less than the Plan Year End date unless the Administrator Signature date is equal to or greater than the Plan Year End date. Your plan will need to be amended and re-transmitted.

Does anyone know what this means, and exactly what section we need to amend? Do we need to put the plan on extension, or just file an amended return by 10/15/10?

I have a plan sponsor who is changing banks. Is there any special notices that need to be sent to current retirees receiving payments? other than new ach forms and w-4ps

When does this have to be made for a plan with a Sept 1 plan year commencement date? By September 1, 2011? It seems to me that you don't actually have grandfathered status until the regs apply (in this case until September 1, 2011), so the disclosure should be made by then.

Code section 401(a) requires the creation of a trust for plan assets. Is it stated anywhere explicitly that said trust must have a TIN separate from the employer? Where?

From our favorite EFAST2 Q&A:

Q27a: Can I encrypt or password-protect the PDF files?

No. A PDF that has been encrypted or password protected to restrict editing, printing, or viewing can not be included as an attachment in your filing. If you attempt to include such an attachment in your filing, EFAST2 will remove that PDF from your filing and you may receive an error indicating an attachment is missing.

So, an accountant sends me a pdf, which may have been dumped from software rather than printed to paper and scanned in. I can open it and using handy/dandy Adobe Acrobat Pro 9 crop it, use the typewriter function, and likely other things. But, I cannot edit text a la "touch-up?"

The accountant certainly hasn't password protected or encrypted. However, I suspect the PDF writer nukes the possibility of editing text created by a different owner.

Will this pdf be rejected? If so, must the attachment be printed out and then imported via a scanner?

Have a case where Safe Harbor Contribution for 12-31-09 PYE was not made yet and we think no extension was filed.

Of course, I am hoping that when the CPA gets back from vacation he will have good news for me.

But just in case I don't get good news I was looking in Rev. Proc. 2008-50 for where is says the correction for this. I remember that we can self correct through 12-31-10. But I can't find this.

Can someone tell me where it is?

Or am I all wrong in my memory?

I'm using I file for DB plans. Edit Attachments breaks down all of the auditors exhibits. Must you add as separate attachments or will IFILE accept a filing where you've simply attached the Auditor's opinion and it clearly labels the exhbits?

Thus, one glop versus 4 or 5 little glops (e.g., opinon letter, 5% transactions, assets held, footprint of first born).

Does EFAST validate the name associated with the user name and PIN against the name entered as Plan Administrator? When troubleshooting these things, we're wondering if that's could have something to with the processing stopped status that we get once in a while (the error description always related to the user name and the pin).

So for example, we have John Doe on the 5500, but they used John D. Doe on the DOL's site. Or John Doe versus Johnathan Doe. Or Johnathan Doe vs. Johnathan Doe MD, and the list goes on.

Logic dictates (to me anyway) that it would be borderline worthless to run such validations, but...

Just in case you don't subscribe to it, this is from the Benefits Link daily newsletter (hint: its free, contains lots of useful info, get your daily e-mail from BenefitsLink and then I wouldn't have to post things like this)

http://www.americanbenefitscouncil.org/doc...enial072110.pdf

Maximum Deductible Contribution per 2009 valuation is $200,000. Employer Contributes $250,000 during the calendar year 2009. So now they must file a Form 5330 to report the excess nondeductible contributions. Are the excess contributions simply $50,000? Or can you use the value of the contributions during made during 2009 discounted back to the valuation date (1/1/2009)? If this is the case the excise tax would be slightly lower...

Does anyone have a good article on what you need to be wary of when investing in real estate in a 401(k) plan? Property taxes, increased audit risk due to 5500 disclosures, nondiscrimination issues, etc.

I have a trustee that wants to do this in his self-directed 401k, but I want to make sure I've at least told him why this is not a good idea (at least from a compliance perspective).

Does anyone know of any guidance or has anyone ever experienced a situation in which :

1. a plan improperly excluded employees

2. Plan qualifies for small plan waiver of audit requirement

3. Plan corrects under EPCRS to make imprerly excluded employee whole

4. by adding the improperly excluded employees the plan no longer qualifies for the small plan audit requirement?

For example:

Plan has 92 participants at the end of 2008 and terminates.

36 employees who were improperly excluded at the time of the plan termination become 100% vested in a benefit. Plan files under EPCRS to correct this defect. Does Plan need to file a Schedule H for 2008?

Has anyone had issues with the automated email reminders from Relius Web Client being sent to your client?

Many of our clients have complained about receiving the constant email reminders but I'm not sure how to disable the emails from being sent to them. I know I could make the particular individuals inactive but then I don't think they would be able to file.

Any suggestions?

I have heard that new instructions will be issued for the 2009 Schedule SB. Has anyone else heard this and if so are you still preparing 2009 Schedules SB or waiting for the new instrucitons? Thanks.

I have a few plans that require the filing of the form 5330 for 2009 and I need some clarification.

Example 1.

Plan had a few late payroll deposits in 2009 which were deposited in 2009. The lost earnings were only $15 and were applied to the plan in 2010. How do I report this on the 5330 on Sch C? I believe I put the due date, description and the amount of the interest of $15 in the amount of prohibited transaction.

Is this correct?

Since the interest was not deposited until 2010, I read that a 5330 has to be done in 2010 too. What do I put on the 2010 5330? And can I do a 5330 now for that now?

Example 2.

Plan had late deposits in 2009 which were not discovered until 2010. Then deferrals were deposited, interest calculated and deposited into the plan in 2010. The interest was calculated from the due date to the date the actual deposit was made in 2010. The interest for 2009 was $500 and the 2010 interest was $200.

Again I have to do two 5330's one for 09 and 10. What do I put on each 5330?

Thanks for any help.

Participant has requested primary residence loan to purchase an RV. Repayment period is 20 years

It is possible someone could live in his RV, but what documentation does plan administrator ask for? He may use a PO Box as his mailing address. Need some type os proof that RV is really his primary residence

Any help is appreciated!

Retiree did an NUA with his ESOP shares in February and transferred all shares in his ESOP to a taxable account. Followed the rules to the letter and got the correct paperwork from Fidelity. The triggering event was his termination from service in April of 2009 and the transfer was accomplished within one year. He is 62.

Last month he received a dividend check from his ESOP and to his surprise found out that his employer had funded it for another 50 shares in March of this year.

His concern now is that through no fault of his own, that instead of just the cost basis being taxable in 2010, now the whole ESOP distribution is taxable in 2010. The difference between the cost basis and mkt value at transfer was about $30K.

Any ideas?

Client has an old SARSEP plan. Some employees put money into a HSA account. These contributions are deducted from all of the boxes on the W-2 ( including social security wages ). For the 3% employer contribution calculation do I add back the HSA contributions to the social security wage figure ?

Participant requests a hardship withdrawal of an RV under the purchase of primary residence standard. How do you approve an RV under this standard - how do you verify that the RV is really going to be his primary residence?