If I have an old SEP IRA that is inactive, can I roll it into a newer active SEP?

Does anyone have a letter communicating a new fee schedule or fee increase that they would be willing to share?

I have a question that revolves around services that my firm can offer in addition to performing plan audits and preparing 5500's without negatively affecting our independence.

Does anyone else act in the capacity as T.P.A. and perform compliance testing (ADP&ACP) etc., the opportunity we have, would not include any participant level recordkeeping or custody of any plan assets.

Any advise or thoughts would be greatly appreciated.

:confused:

I have a plan sponsor that wants to allow an employee to rollover an outstanding loan from his prior employer plan. The prior employer is not related to this plan sponsor.

The Plan Document contemplates rollover loans only from predecessor plans due to an acquisition.

The Plan Document appears to be silent on whether it will accept loan balances from non-affiliated plans.

As I understand the general logic, both the sending and receiving plan must allow for this in the documents. Would the document's silence on this point be interpreted as not allowing unless it is affirmatively drafted in the doc or would the silence provide the room needed to stretch the interpretation to allow the loan rollover?

Thanks in advance for your insight.

andmik

Is anyone aware of any requirements to file a 5500 with the State of Georgia?

If you have a sole proprietor with employees, you have to solve for his net compensation after SocSec/FICA and plan contributions. If you have a SoleProp plan with forfeitures reducing contribution, how do you determine SoleProp's net comp and the total DC plan contribution?

It seems that the comp should be based on the SoleProp's actual deduction rather than the total allocation, but any system or spreadsheet I have seen determines comp based on total allocation.

The IRA Trustee's document indicates that "proof acceptable to the trustee" is required when requesting a premature distribution due to disability. The IRS Code defines disability for retirement plan accounts in the same manner in which the Social Security Administration does.

So, 1) should a custodian or trustee of a retirement plan allow an SSI acceptance letter as sufficient proof? 2) Also, if the custodian or trustee requires only the physician statement and makes a qualified judgement as to whether or not a distribution will be made under 72(t) for disability - - is it even within the realm of the trustee's duties to make such a judgement? 3) What if the custodian always (under all circumstances) issues a distribution upon receipt of a physician's statement - - and, say for example, SSA denies the claim? 4) What if the custodian actually makes a qualified decision to reject the distribution request and the SSA approved the claim?

Sorry for so many questions...all of your responses are truly appreciated!

Does anyone know why there is a MANDATORY retirement program at Texas Universities? I worked for a University, and only planned to stay for one year. I did not want to have money taken out for a retirement plan. I had no choice. I was told "If you do not sign up for it, you will not get a paycheck". Somehow, this seems illegal. I am under the impression that there are no regulations for higher education retirement plans. Therefore, they can do whatever they want. Now that I have left that institution, I am trying to get the money back from that plan. Since they have withheld the money, I was not able to make any interest on that money, and now I will have to wait almost 4 months to get that money back from the account, also losing that interest. (Not too mention paying the 10 percent penalty). Does this seem RIDICULOUS to anyone else?

Someone in our office recently attented a benefits conference where they believe they heard that Massachusetts adopted a new law whereby employers are required to communicate to employees the total medical rate in addition to the employee contribution rate. I've searched the Massachusetts code on-line and can find no reference to this. Does anyone have any idea of any new requirements in Massachusetts? Can you provide me the cite?

Thanks.

Mary C

I use the Universal Pensions (UPI) adoption agreement. It asks to state a cap on matching contributions, either $ or %. Say the client elects to match on 6%. Then next year, only wants to match on 4%. Can a simple board resolution change the 6% to 4%? If they want to change this annually, again a simple board resolution BEFORE each plan year begins?

It is my understanding that matching contributions need to be made to the plan by the due date for the corporate return plus extensions unless it is a QMAC and then it is due by the end of the following year (plan year and fiscal year the same).

I'm confused that Treas Reg sec 1.401(m)-1(B)(4)(ii)(A) refers to making the contribution 12 months after the plan year end. Can someone clarify this for me. Thanks.

We offer a 403(B)(1) plan through TIAA-CREF. When a participant wants to take a distribution they do everything through TIAA-CREF. The only thing we, as the plan administrator, do is provide a termination date.

My question is, under a 403(B), who is responsible to ensure that the distribution restrictions and requirements are satisfied? For example, if TIAA-CREF, did not get the proper paperwork for the distribution, lets say the spousal waiver, would the liability come back to us? Or, because the participants have individual contracts with TIAA-CREF is this TIAA-CREF's responsibility?

I appreciate any input that you could give.

we deal with a church plan with an employer contribution that has not filed 5500's nor has it made an election under ERISA. However, the plan is operated like an ERISA plan insofar as it has a vesting schedule and participation restrictions such as a one year wait.

the question is: does operating a non-electing church plan in accordance with ERISA somehow subject it to the requirement to file a 5500?

Who is supposed to sign the 5558 extension form. I was under the impression that the plan trustee must sign the form and not the TPA. Please advise

Company A, which maintains a 401(k) plan, merged with Company B, which also maintains a 401(k) plan. After the merger, employees of Company B became eligible to participate in Company A's plan. Several months later, the Company B Plan was "terminated" (although it does not appear that any formal company action was taken to terminate the plan) and distributions were made to all participants. Of course, distirbutions upon termination were not permitted under Code Section 401(k)(10) because the Company A Plan is a successor plan. All but one participant elected direct rollovers to the Company A Plan. The remaining participant rolled into an IRA. A final Form 5500 was filed for the Company B plan.

I would view the distributions as an operational failure that should be corrected through EPCRS. The appropriate correction would seem to be to return the improper distributions to the plan

(with possible adjustment for earnings/losses). The failure is certainly significant, but would be within the correction period for the Self Correction Program. I would think an amended 5500 should also be filed.

Anyone ever handle a similar situation or have any thoughts on how best to correct the distribution failure?

Thanks.

HI.

I need to make a withdrawal from my Roth IRA. This Roth was converted from a Traditional IRA in 1998.

1. 10% penalty does it apply.

2. Are there any other penalties.

Thxs.

I'm new to this message board, so please bear with me. My concern (question) is - what penalty may an employer face if he does not deliver his employees' contributions to the pension fund administrator within a timely manner? I started working at a nearby university close to three months ago. Since my first pay check the proper amount for my pension contribution has been deducted. Now, I have been notified that none of these contributions have been forwarded to the pension fund. In fact, for the last quarter, none of my fellow employees contributions have been forwarded. We have been told that the employer has 15 days to forward your contribution - Is this true? If so, what penalties may he now face. Any help will be appreciated.

Is there any reason an individual holding restricted stock (before the restriction lapses) couldn't rework the restricted stock agreement to either (1) extend the restriction (i.e. keep it nontaxable); or (2) trade it for some other form of benefit (nontaxable, taxable, or otherwise)?

I am completing multiple late 5500s. In the first year in question, 401k deposits were not remitted timely and the 5500 will note this.

The 401k deposits have been remitted (they were remitted in the year they were due, just not on time). No deposit of imputed earnings on those late deposits has been deposited to the plan. Is this a non-exempt transaction for each subsequent year that must be reported on Schedule G each year until the plan is made whole?

:confused: :confused:

Please help....

Excess contributions were rolled over from a terminated qualified plan along with the rest of the assets to a 401(k). Recently (July 2001), it has been discovered that there were excess matching contributions to 4 employees in 1999 and 2000. I've investigated the matter and found that it qualifies as a insignificant operational failure that can be corrected by a SCP.

The main problem : These excess contributions never should have been rolled over from the old terminated plan to the new 401(k). Therefore, they must be rolled back to the old terminated plan. In other words, the excess contributions belong to the old plan, thus, they cannot be put in a suspense account or simply transferred and used against future matching contributions. What can the employer do with this money so that the old plan is not disqualified (and thus would immediately tax all the rollovers) and what would be its tax treatment (i.e. 1099 forms, etc.)?

We greatly appreciate any help in this matter!

P.S.: The organization is privately owned.