Can anyone point me in the right direction to locate the history behind a Rabbi Trust and Secular Trust? (i.e., why they bear their names, etc.)

Employer has established a 401(k) plan. Employer tells all participants that they can only defer 12%, and that he will match no more than 5%.

An employee gross salary is $50,000 per year. He wants to defer 24% ...( $50,000 x24% = $12,000). But employer tells him that the plan document/ adoption agreement says that no more than 12% can be deferred.

Employee thinks that the new tax law (egtrra) allows him to defer up to 100% per year, as long as he defers no more than $12,000.

Who is correct ? (The employer or the employee).

When an IRA is rolled over into a Qualified Plan, does it loss its "IRA status" as far as:

- Purchasing Life Insurance?

- Qualifying for a Loan?

If a plan fails to pay its invoices and in turn the recordkeeper charges plan expenses to the participants accounts (which is clearly stated in the Service Agreement), can an employer come back and "reimburse" the fees to the participant accounts?

If so, would it be dependant on the contribution types allowable under the plan document or would it have to be considered a restorative payment in which I highly doubt the amount of the fees qualify (nor would I necessarily consider this situation a fiduciary breech.)

When an IRA is rolled over into a Qualified Plan, does it loss its "IRA status" as far as:

- Purchasing Life Insurance?

- Qualifying for a Loan?

When an IRA is rolled over into a Qualified Plan, does it loss its "IRA status" as far as:

- Purchasing Life Insurance?

- Qualifying for a Loan?

If a contributing employer for a Multiemployer plan transfers his union employees to a leasing organization and the leasing organization continues to make contributions to the Multiemployer plan, is there anyway that the "former" contributing employer can avoid being accessed a withdrawal liability? If so how?

My question is on changing the top 20% or calendar year elections in determining HCE status. I know that during the RAP we had a "free ride" on making these elections and could utilize whatever gave the best results, then amend the document accordingly at the end of the RAP. However, most plans have already been amended, so the question is, when changing these elections going forward, when must the plan be amended to reflect those changes. Has the IRS ever provided any definitive guidance on this?

Thanks to all who respond!

I have an employee who has 6 mths vaginal leave, applied for STD was denied - and appealed. The appeal took 4 mths, so she went on FMLA and NJFLA. Now that she has returned to work, she has received word that her maternity related carpel tunnel was approved for Short Term Dis. She now wants to go on Long Term Dis. How do I go about doing this??

After reading All You Ever Wanted to Know About Roth IRAs But Were Afraid to Ask, I'm wondering about protection issues regarding Roth IRAs. Specifically:

• Is a Roth IRA protected from the claims of creditors?
  
• Is a Roth IRA protected from the effects of bankruptcy?
  
• Is a Roth IRA protected from lawsuits?
  
• Is a Roth IRA protected from divorce judgements?
  
• Can Congress retroactively revoke the tax-free status of earnings in a Roth IRA? If they can retroactively extend copyright laws, why not retroactively extend taxes?
  
• Are the earnings in Roth IRAs exempt from taxes other than the capital gains tax, like state and local taxes? If they are, could states retroactively revoke those exemptions?
  

I looked around on the web for information on this, but not much was helpful, other than some vague references. Regarding most of these, I believe that it is dependant on State Law. All states provided most of the above-mentioned protections for Traditional IRA's, but may not have updated their legislation to provide those protections for Roth IRAs. I even tried LexisNexis, but that gave me results that didn't appear to have anything to do with Roth IRA's. Specifically, I'm interested in NY laws, but those in other states may obviously be interested in the laws of other states.

Is the following wording, PRIOR SERVICE WORDING: " Members of the plan shall be entitled to a monthly annuity credit of $1.00 a month for each year of the nearest integral number of years of continuous service immediately prior to membership provided that no credit shall be given for any period the member was a participant in another pension plan of the company. The maximum monthly annuity credit under this provision shall be $10.00."

Is this considered to be credit for PARTICIPATING SERVICE, prior to age 30?

Need direction on issues involved in carving out New York chronic illness plagued employees (50-60)as a class under a fully insured healthplan . I see issues under HIPAA and ERISA and adverse selection not to mention discrimination. A New York pharmacy has developed a niche market for packaging the RX to provide the employees that have chronic medication requirements with 30 day supply of scripted medications packaged by doasage. The health plan insurer recognizes this pharmacy but will not carve out the affected employees. The pharmacy/packaging company also wants no copays and AWP-9% versus the carriers AWP-12%. Because fully insured plans are on file with the state of New York - this would also violate the filings for the carrier - If someone has some insight and direction I would certainly appreciate it and so would my client. Total group size is 400 full-time employees. Thanks

Thanks

Does anyone know what "benefit" means under section 105(h) of the Internal Revenue Code, as it applies to health care FSAs? More specifically, does that section require that a plan has to be offered to at least 80 percent of those eligible to participate if at least 70 percent of all employees are eligible, or does it say that at least 80 percent of those eligible to participate under a plan must participate if at least 70 percent of all employees are eligible?

We have received a QMCSO with respect to an employee who were already providing insurance for the children in the order. However, he was unaware that he was not required to provide the insurance if by so doing his disposable income would be less than 50%. Therefore, he now wants to drop his children. However, I do not see that this is a permitted change. I understand that if a QMCSO is issued with respect to the former spouse and the employee provides proof that the former spouse is in fact providing health coverage, such employee may at that time drop coverage. However, that is not what has happened in our case. Any thoughts? Suggestions?

Participant is not in ownership group, wants to know if he can still contribute to 401k next year. Also, does he have to take RMD from plan and/or his IRA in 2004?

Thanks

Stupid question but what is the filing deadline for a 12/14 plan year end? When is the 5558 due?

Understanding that non qual participants only have an unsecured promise from the employer to pay a benefit, and that any Employer Stock in the asset/employer account is still the property of the company, is there any reasonable explanation as to why a non-qualified plan would suggest that the participants in the plan actually have the voting rights?

Thanks for any direction.

If both the employer and the employee contribute to an AD&D plan, are the employee's contributions made pre-tax or post-tax?

Thanks.

I have been asked by a plan sponsor if the Summary Annual Report can be posted on their company's bulletin board. I would think not. It is my understanding that each participant must be given a "hard copy" of the Summary Annual Report. Any thoughts?

We're considering offering group LTC but most of our employees are under age 40. Question, on LTC when someone leaves the company do they get to continue the LTC policy on an individual basis at the same group rates or do the rates change to an individual policy.

I thought financially it didn't make sense to take LTC until you were around age 55 unless you were concerned about needing it before age 55 (i.e., disability related need).