I am looking for a health care coverage plans for small not for profits. Chicagoland area.

Does anyone have any experience with moving a 403b over to a 457 plan? What are the conseqeunces and costs? How difficult is it? Thanks.

Good Day All.

Can anyone offer some guidance on this please

Do the PARTY IN INTEREST provisions under ERISA have any analogous rules governed by the SEC?

as always, thanks for any relevant thoughts.

How will disbursements from a 457 Governmental Plan be reported in the future? There is disagreement as to whether distributions will be reported on Form 1099-R or W-2.

Previously, distributions were reportable on W-2. With new portability rules - it is assumed that Form 1099-R will now be required. We have not received firm confirmation as such.

Lastly, if the 1099-R is to be used, what of annuities in payout under settlement provisions of the contract? Would these also begin being reported on Form 1099-R? We have a running second conversation that these would be continued to be reported on Form W-2, regardless.

With the mad rush of merging MPP's with existing Profit Sharing plans, we were looking for some clarification.

Our stance is not to step up the vesting once the MP is merged with the PS Plan and to track as a Money Purchase source for J&S reasons. We use a prototype, the question is when someone is paid out of the PS plan and has a non-vested interest in the MP source, what happens to the forfeitures? I didn't see anything in the document that references that. Does it become a forfeiture like the Profit Sharing? Follow the what the document says about non-elective contribution forf?

Thanks

Hello Everyone--

How do you all collect the correct information from your clients about their employees who fall into key and highly compensated categories? We used to use a worksheet/questionnaire--but it is rather old.

Would anyone out there be willing to share how they gather this data, how often and so forth.

Thanks

We are self administering a 401a and just processed first loan. Our question is about the interest that is paid back by the employee. When the money is finally paid out at retirement or termination, how is the interest payback handled on the 1099-R since it is being paid back with after-tax money? Seems like it may be double-taxed?

My employer offers me an ESOP plan. Each year depending on our vested percentage, we get as dividend check from our stock. I'm thinking of putting it into an IRA as oppsed to putting it into the ESOP. Would I be better off with a regular IRA, a Roth IRA, or just leaving it in the ESOP?

Also, is there a minimum amount I will have to put into an IRA each year?

Thanks for any advice.

Are there any restictions on an employees right to change elections for a health plan that is not a part of a cafeteria plan? I can't seem to find any legal reason why they couldn't change their election since the Section 125 regulations only apply to cafeteria plans.

Does an employee have any right to enroll in a health/welfare plan if he/she is called up to active duty prior to enrolling in the plan? USERRA only seems to apply to individuals who are already enrolled in a plan.

I've been online for several hours trying to understand - this is the best site I've seen and I hope someone can help a beginner.

We are a new, charitable, tax-exempt enity organized as a trust. We have a single employee. We'd like to offer him health insurance as a benefit. However, we're building everything from the ground up, and are not in a position to arrange a formal group plan with an insurance company, or analogous solutions yet.

I gather that our trustees could set up a "plan" under which we agree to pay the insurance premium of our single employee's existing, individual insurance plan, and that he, therefore, would not have to consider those payments as income. We would pay it directly to his insurance company on a policy that he owns himself. Does anyone know of anywhere I could get some practical guidance on what such a "plan" should look like?

And could we also begin making his COBRA payments for him until we get going?

Extreme appreciation, in advance

Glenn Conrad - Shanti Foundation

Say a 2000 calendar limitation year is changed to a limitation year of 7/1/00 to 6/30/01. Is the 415 dollar limit prorated for the period 1/1/00-6/30/00 or 1/1/01 to 6/30/01? Before you answer, please read the following excerpt from IRS Reg. 1.415-b(4):

(4) Effect of change of limitation year.

...

(ii) Any change in the limitation year must be a change to a twelve-month period commencing with any day within the current limitation year.

(iii) For purposes of this paragraph, the limitations of section 415 are to be applied in the normal manner to the new limitation year. Moreover, the limitations of section 415 are to be separately applied to a “limitation period” which begins with the first day of the current limitation year and which ends on the day before the first day of the first limitation year for which the change is effective. The dollar limitation with respect to this limitation period is determined by multiplying (A) the applicable dollar limitation for the calendar year in which the limitation period ends by (B) a fraction, the numerator of which is the number of months (including any fractional parts of a month) in the limitation period, and the denominator of which is 12. This adjustment of the dollar limitation only applies to a defined contribution plan.

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It appears to me that "the day before the first day of the first limitation year for which the change is effective" in my answer above is 6/30/00.

What is the point in giving historical information about ADP/ACP testing in a GUST document?

If that information is not completed in a protoype and the plan is audited or submitted for a determination letter, what are the likely consequences?

Note that I am not saying that testing wasn't completed but, at this point, it cannot be determined if current or prior year data was used.

Thanks.

I need info on how to terminate a 403b and move it over to a 457 plan. I have a copy of Rev Proc 2001-17. I could use some help in gleaning what I actually need to submit for correction. The problem is that the 403b is with a city which is an ineligible employer. Thanks.

I need info on how to terminate a 403b and move it over to a 457 plan. I have a copy of Rev Proc 2001-17. I could use some help in gleaning what I actually need to submit for correction. The problem is that the 403b is with a city which is an ineligible employer. Thanks.

If a Participant terminates employment, and wants a lump sum distribution from a 403(B) plan, are there any joint and survivor annuity requirements? Or are those requirements only triggered if a Participant elects a life annuity? The Employer is a tax-exempt subject to ERISA. I understand the preretirement survivor annuity requirements.

Has anyone seen any recent guidance that addresses electronic signatures as it relates to Beneficiary Designation and Election Forms? Thanks.

I am familiar with significant dates for DC plan updates, but I've run across a couple of DB plans that have dates in the mid to late 80s. Were they not required to do anything in '94?

Does anyone know if vacation/sickday payouts at termination can be used for elective 403(B) or elective 457 deferrals?

I have a glossy brochure from one of the major fund managers suggesting that this is possible post SBJPA '96.

My recollection is that other interpretations were more restrictive...suggesting that it was only amounts earned for vacation and sicktime in the year of termination could be used.

And it's unclear to me right now how EGTRRA affects all of this.

Any ideas would be appreciated.

Thanks,

Johnny

I have a client that answers YES to the question, "Did the ER get the deferrals into the trust on a timely basis". However, I know they did not get them in under the legal limit of 15 business days. Does anyone know of any guidance from the IRS regarding the 5500 preparer's responsibility in this situation?