I am an extreme novice when it comes to HSA's and the relationship (or lack there of) with FSA's. So please don't laugh at me . Is speech therapy or acupuncture eligible under the limited purpose FSA? Does participant enrolled in HSA have to prove that they have met deductible before submitting these to the FSA, or can we reimburse before or without this proof?

Could a participant make a loan repayment in the form of stock? My thoughts are that the transfer of stock by a participant to a plan would be a transfer of title, with all attendant income tax consequences, but more importantly could also be a prohibited transaction. Any information or thought?

An employer is submitting under the VFCP to correct the late deposit of employee deferrals. A small amount of money will be deposited to employee accounts as part of the correction process. Is there a requirement that employees be notified of the submission? I know that some employers have sent e-mails or included a note with paystubs, but I'm not finding anything that says an employer MUST notify employees.

This is probably a very basic question but I can't seem to find the answer.

3 months ago I opened a Roth IRA at my bank. I would like to move that to a Roth IRA at a brokerage. Can I move that money? or do I have to wait a full year after I open the account?

BTW I have other Roth IRA accounts that I have had open for 8 months now (those are all ok)

I found an older post (Aug 2000) addressing the question of whether an ESOP may restrict stock ownership to only current employees and transfer stock ownership of terminated participants to the accounts of current employees accounts?

The thread contained very definite and differing opinions on the matter. I am told that this is still common practice. Does anyone know whether any additional authority on the matter has been issued since 2000?

States which do not allow HSA tax breaks can be bypassed by running the contribution thru a 125 plan. Is this a true statement? Doesn't sound acceptable to me but not sure.

Bill is age 58 w/ 30 years of service

The Plan's Normal Retirement Date is defined as the earlier of age 62 w/ 30 YOS or 65 w/ 5YOS

Bill's X would like to commence her benefits under the QDRO now, at Bill's age 58.

In determining her benefit, would the reduction be from his age 62 or 65?

Have a qualified profit sharing plan with life insurance. Plan is terminating and we want to provide participants with some information regarding the impact of

a) taking a cash distribution equal to the cash surrender value; and

b) taking a distribution of the actual life insurance policy, and continuing the premium payments outside the plan.

Anyone have any good write-ups? We have the EOB's excellent section on the topic, but want something in plain english that can be distributed to participants.

Anything you can share is appreciated!

I worked for a company through college full time, and in the process earned shares based on the companies ESOP. After finishing college I left that company and found out soon after that the company (which was privatley held) was bought out by a larger corporation. Everyone that I knew that was vested in the original company's ESOP was compensated for the amount of shares that they owned. I wasn't compensated, so my question is "Am I owed any compensation because I was vested with the original companhy?" or "Am I SOL????" Any help or opions on this matter will be greatly appreciated.

I worked for myself for 8 years (actually, I worked for my dad in a family business), but I never began an IRA or any other type of retirement savings account. And if he (my dad) set money aside in some account for me, I am not aware of it.

We sold the business when he decided to retire, and I took time to go back to college to earn M.S. in Operations Management. I got a new job about 3 months ago in management with a very successful manufacturing plant starting at $36,000 a year. Not a hair-raising salary, but a good start. To my understanding, it will lead to better things.

I am 35 and single, although I do hope to marry some day. Currently, I am in a good position to invest the greater portion of the money I make because I do not have much in the way of expenses. I want to begin a retirement account.

My company will match 40 cents to every dollar I place into my 401K after I have been employed with them for 1 year (up to 6% of my salary max), so I will maximize that opportunity as it becomes available. Presently, 3% of my pre-tax salary is automatically placed into the 401K plan, and I have voluntarilary contributed an extra 3%. All of this is going into the Vanguard Prime Money Market Fund, a fund which I know very little about, except to say that it is probably a low-risk, low-yielding, and very stable long-term fund.

To my understanding, because I have contributed an extra 3% of my pre-tax salary, I have decision-making authority to shift the entire amount to any of 15 available funds offered by Vanguard in addition to the (default) Prime Money Market Fund. I would like some help in this area. Questions that immediately come to mind are: Am I under-utilizing this option by not investing more? Should I consider a mix of these funds, or stay in the Prime Money Market Fund, and look elsewhere for other investments?

In addition to this, I am preparing to create an IRA, but I am unsure which is really the better alternative between a regular IRA or the Roth. It seems to me the only advantage of having a Roth is the flexibility the account would offer under various circumstances. Being taxed now rather than later, however, seems to go against the convention that a dollar in hand today is worth more than a dollar tomorrow (more growing power in the former). I do anticipate salary increases and more pay-out in the form of taxes as time goes by.

Because I am a novice at this, I am asking that the more experienced place themselves in my shoes for a moment and run with the information i have provided. If I have left out a key detail, just let me know. As for my goals, the only thing I want at this point is to maximize long-term wealth, but I am open to making some moderate-to-high risk investments at this point in my life.

Can we put FMLA paperwork for employees in theri benefits file?

Or does this violate HIPAA?

I assum putting in Personnel file is a nono as well?

in order to qualify for the substantially equal periodic payments exception in 72(t)(4), must the payments be for the life expectancy of the participant? someone in my office seems to think the distributions can be over a period of 5 years. the code seems pretty clear that it is life expectancy.

Can a SEP change plan sponsors?

Thanks for any help.

Participant wants to take a hardship distribution. The plan allows for loans, but a loan would put him in hardship, therefore does he qualify for a Hardship before a loan?

Also, the hardship would be to pay off some of his mortage he owes on his house?

Can you make Davis Bacon contributions to a SEP plan? If so how would the contributions be calculated? If the SEP has a flat dollar formula and you gave the Davis Bacon contributions would you give the employees who are not working on a public works project the same dollar amount?

Is it okay to use one RPA rate for funding purposes and another for maximum deductible purposes?

A plan sponsor was referred to me today asking if there is an easy way to fix a failed ADP which his payroll service and plan administrator just notified him of recently. Here is the situation:

- straight traditional 401K... no match... no ER contribution

- 14 EEs including himself

- participation: One NHCE, and himself (No payroll info yet to determine who was eligible to participate)

I think the best case scenariois that he has failed the test just barely each of the preceding years. The payroll company told him it will cost him $50K to make the plan right.

My question is... can he go back and withdraw from the plan the over deferral for the years he failed instead of contributing new $ to a plan he really doesnt want. Amend the form 5500s and move forward from there? Is there a specific correction under VFCP?

I know this is vague... simply trying to find out what some options are to suggest when I go to collect information and really see what the issues are.

Thanks

Are there any required participant notifications when an employer withdraws from a multiple DB pension plan? The plan is already frozen so no 204(H) notice is required. The plan will lump sum out participants or purchase annuities. So at minimum, we would need to prepare a benefit package per participant with relative value information as of the date of withdrawal--correct? Any other kind of participant notifications for the employees of the departing employer?

Thanks

Posting here so as not to waste the time of anyone not interested.

Go Sox! And hearty boos and hisses to the Bronx Bombers and their misguided fans.

My wife is a teacher, and her principal is a diehard Yankees fan, so they ganged up on him this morning and decorated his office with Bosox accoutrements, right down to Bosox peanuts and Fenway Franks. I'm assuming they will all be fired by noon.

Good thing it is a night game, or the New England economy would probably take a 50% productivity hit today.

Enjoy the game!

Are redemption fees from mutual fund companies required to be listed on the schedule A?

I hope not, this will be a pain!