Does anyone know what these plans are and if they are rollable into an IRA?

We administer a 401k plan and currently offer Merrill Lynch mutual funds as an investment option to all participants. All participants who currently maintain the Merrill Lynch self-directed accounts are HCE. Would it be considered discriminatory under Reg. 1.401(a)(4) if we were to add a condition that as of a certain date only participants who currently maintain Merrill Lynch accounts will be permitted to make future contributions to these accounts?

i cant determine whether 409A will allow a participant who receives restricted stock with say a 4yr vest (passage of time, cliff vesting) to elect to defer that stock into the SERP (nonqual salary deferral plan) with 1 year or more of vesting left on the restricted stock. the only exception from the initial deferral rules that could work but doesnt is the one for unexpected compensation rec'd that is subject to continued employment for at least 12 mos. problem is that the restricted stock grant is not unexpected and in fact will have been made 3 yrs prior to its deferral. it seems like this should be able to work under constructive receipt principles but i cant get there under 409A. HELP!

Can a welfare plan amendment have an retroactive effective date? For example, can we sign an amendment today and state that the effective date of the amendment is 1/1/06? I know we can for retirement plans but wasn't sure about welfare plans. Thanks in advance!

What are the penalties for failing to file a Summary Annual Report and Summary of Material Modifications within the prescribed timelines?

Hello,

I have recently completed my Certified Retirement Counselor desigination from the International Foundation of Retirement Education (InFRE) USA. I am a qualified Superannuation/Retirement researcher in Australia and I am keen to learn more about the ASPPA qualifiactions and where I can obtain them; as I wish to broaden my chances in applying for work in the USA within the retirement industry,

Any information would be much appreciated.

Pepe.

When Revenue Procedure 2006-27 (revised EPCRS) was issued earlier this year, I rushed right out and printed myself a copy. The version that I have on file indicates that the $375 reduced fee for streamlined non-amender filings is "for each year of the failure." The version currently on the IRS website does not include this language. Does anyone know if technical corrections were issued to the Rev. Proc.?

Anyone know of some vendors that provide fund fact sheets for participant communication? I only know of Morningstar's Principia product. Any others out there?

On another message board, someone mentioned that a multiple employer 401(k) plan might be subject to securities registration because the exemption for 401(k) plans wouldn't apply. They referred to a thread on this forum, but the thread is no longer available. Can someone please explain to me what securities law problems a multiple employer 401(k) plan might have?

We have an employee who has underspent her FSA account. We have to offer her COBRA, what would the benefit be for her to elect COBRA if she is making the contributions with after tax dollars ?

At the end of the year, can she claim the after tax contributions on her taxes and get some "credit" back ?

I am worried that the only benefit she would have is coming out financially ahead at the end of the year. As in, she elects to continue coverage through COBRA, never makes a payment before we reimburse a large claim and then stops coverage.

Any guidance would be helpful. We need to get her election form out soon.

An eligible employee (plan doc states that employee's are eligible to join the 401(k) plan after one hour of service) wants to roll his 401(k) from a previous employer into his current employers plan. However, enrollment dates for the current plan are Jan 1 and July 1. Can this employee set up the rollover account now, prior to the actual enrollment date of Jan 1?

Here is an odd situation - but was hoping for some opinions....

Plan sponsor forgot to do their 2001 ADP/ACP testing. They are currently doing it now.

When the plan document was signed for GUST, the prior year testing method was chosen. The GUST document was signed in 2002.

In doing the 2001 ADP/ACP testing, are they limited to using the prior year method (since that's what the plan document indicates)? Or, can they use the current year method since 2001 was during the GUST remedial period?

I suppose this is an interpretation issue - as I can see it both ways.

Any opinions?

We have a broker who is trying to introduce a "minimum premium payment" health plan. This is a fully insurance plan with self insured characteristics. Specifially, 80% of the premium goes to the health care vendor and 20% is held in a reserve (in our bank). At year end, when we "true up" the plan, based on our experience rating, we may be able to keep a certain portion of the reserve money to use for future medical plan expenses.

Has anyone had any experience with this type of plan? What are your thoughts? Any red flags we need to look for? This one is new to me.

If an employer wants to charge terminated employees for maintaining a balance in the plan, can the employer bill the ex employee? Or does the bill have to come from the plan? Can the employer keep the money that they receive for the bill or must it go into the plan?

A union would like to offer its members a legal services plan (LSP). The plan is to be funded from employee contributions only (through dues check off) and the employers will not have any involvement other than turning over the dues money which it does anyway.

1. If the amount of dues being collected by the employer through check off and turned over to the union is to increase due to the LSP, are there any legal issues which would prevent the union from moving forward with this plan?

2. Does there need to be a participation agreement of some sort between the union, employee and employer regarding this?

Please advise.

A union would like to offer its members a legal services plan (LSP). The plan is to be funded from employee contributions only (through dues check off) and the employers will not have any involvement other than turning over the dues money which it does anyway.

1. If the amount of dues being collected by the employer through check off and turned over to the union is to increase due to the LSP, are there any legal issues which would prevent the union from moving forward with this plan?

2. Does there need to be a participation agreement of some sort between the union, employee and employer regarding this?

Please advise.

The Transition Rule under 410(b)(6)© gives a free pass on coverage testing for the Transition Period. Does that mean you still have to pass ADP/ACP testing during that period based on employer wide data?

Can anyone suggest a prototype plan sponsor for a small (under 100 employees) employer that primarily is interested in the plan document, but manages its own investments and recordkeeping?

Client had a Simple IRA but is moving to a 401k s/h plan. They want to roll some of the SIMPLE IRA money into the new 401k. If they do this, do those rollover monies get counted toward TH determination in the new 401k plan?

My employer has a nonqualified deferred comp plan for executives that utilizes the 1983 Group Annuity Mortality Table (83 GAM). My question is the following: Does ERISA or some other regulation require that the Plan be amended to use the 1994 Group Annuity Reserving Table (94 GAR)? Or is it up to the employer if it wants to change from using the 83 GAM to the 94 GAR?