A recent thread prompted me to pose the following questions for those forum members with experience in dealing with the "individual" or "solo" 401(k) plans.

Are most/any of the plan documents used by those entities marketing individual 401(k) plans worded to explicitly exclude employees other than the owner, or is it more common to simply use a standard 401(k) document for a single participant plan and merely call it a "Solo(k)"? If the former, do they accept adopting employers that have employees other than the owner?

Thanks for any and all feedback.

Assume a private company with a leveraged ESOP that is valued by an independent third party once each year (as of the end of the year). Assume that all shares acquired by the ESOP were acquired after 1992.

How is the value of shares released in a year determined for company Financial Statement purposes?

I believe that AICPA SOP 93-6 indicates that the actual fair market value of the shares at the time of the release should be used for this purpose.

How is the fair market value determined if the Financial Statements are prepared prior to the completion of the valuation by the independent third party? Is the share value from the prior year used?

I can't get a clear answer - are one participant plans subject to ERISA?. Interested in plan asset regulations esp., but other ERISA provisions as well.

If someone could advise me on the following:

I have an employee that went on Workers Comp Leave and has an FSA. I know what to do in the circumstances of someone on FMLA but what can be offered (if anything) when someone is on W/C leave?

I have a profit-sharing plan which was amended last year to provide that benefit accurals would cease effective August 31, 2004.

Compensation earned up to August 31, 2004 will be considered in determining the amount of each participant's contribution.

COntributions are allocated pro rata according to participants' compensation.

The 2004 contribution is in the process of being allocated and I have been asked whether the $205,000 401(a)(17) compensation limit should be pro rated in determining the allocation. (This is a calendar year plan year so the pro-rated limit would be 8/12 or 2/3 of the $205,000 or $136,666).

Does anyone have any thoughts?

question retracted.

I don't see Form 1024 on the "Forms and Publications" portion of the IRS website. The most recent version I've found through other sites is dates Sept. 1998. Does anyone know if the 1998 version is the most recent update?

Thanks.

We have our clients file Form 5330 and pay the excise tax, but I'm wondering how many people are using the Voluntary Fiduciary Correction Program. All responses are appreciated.

Employer (construction firm) has about 100 salaried, full-time employees. Hundreds more who work on an "as needed" basis. These are not all necessarily hourly employees. Most will work more than 1000 hours per year. Do not know if they're contract labor or not.

Employer wants options on plan design that will only benefit his full-time staff. The "as needed" employees do not seem to fit any excludable classification. A one-year wait won't really help either, since a lot of them will satisfy that requirement.

Anyone have any ideas that will still pass coverage?

Thx.

Does anyone know where I can find a resource for Erisa Auditing Guidelines for Self Funded Health Plans?

I have recently been using my leave under the FMLA after being injured in an accident. My doctor filled out all forms provided by my employer. On a recent visit to my doctor, I was informed that my employer had called their office to find out what was going on and when I would be able to return to work.

I am upset with my employer for calling this doctor. I feel as if this is an invasion of my privacy. Is this something that employers are allowed to do?

Thank you very much.

What are some of your favorite books to look to for inspiration?

Personally, I keep coming back to "The Wal-Mart Way by Don Soderquist. The fomrer Vice Chairamn & COO outlines the company's 12 keys to success, and while it mainly focuses on examples in a corporate setting, there are also themes that can be applied to every day life.

I haven't been able to find the answer to this question. What happens if you are not expecting to be above the income limit for a Roth IRA but after you have funded one for the year you find that your income has gone over the limit? Thanks for any help.

IN A 401(K) PLAN, WHEN A PARTICIPANT DIES PRIOR TO RECIEVING THEIR MRD FOR THE YEAR, SHOULD THE MRD BE PROCESS AND MADE PAYABLE TO THE BENEFICIARY, THEN PROCESS ANOTHER DISTRIBUTION TO THE BENEFICIARY FOR THE REMAINING AMOUNT?

I saw that the IRS planned to issue more guidance on the interaction of FSAs and HSAs during the grace period.

It is my understanding that, under the guidance to date, if a person had elected to participate in a full service FSA for 2005 and the FSA sponsor amends the program to allow reimbursements during the first 2.5 months of 2006, neither that person nor their spouse would be eligible to contribute to a HSA for the first 3 months of 2006 because they had disqualifying coverage (even if they had used their entire account balance before year end).

Does anyone have any insight into what the guidance might say?

Client didn't deposit 401(k) deferrals for 5 months into the trust....what actions do I need to take? Do I need to file with DFVC Program? Pay the interest that would have accrued? And pay the $750 to the DFVC???

Any thoughts?

Are there any circumstances that an employer could bill an employee for the remainder of their Health Care FSA annual pledge at the time of termination? I recently read an SPD that indicated a terminating employee should advise payroll ahead of time and pay the remainder of their contributions. I had never heard of anything of that nature before. Can you please provide a link to the regulation so I can read this wording (whether this is correct or incorrect).

I am going to get my mom and dad a Roth IRA set up for this year 2005 (before they do their taxes). My dad is 58 now, would he have to wait 5 years before receiving distributions or could he start when he is 59 1/2? Thanks for taking time to read this.

I am taking over a integrated DB plan on a prototype doc. The actuarial equivalence interest rate is 6.5%. My understanding is that since that is not within a range of 7.5% to 8.5%, the benefit formula does not qualify for the design based safe harbor exemption to general testing. Am I correct and, if so, where in the Code or Regs is that stated?

If the maximum 25% of payroll contribution is not made in a given year, can the contribution be more than 25% in a following year?