A. Company has a MP and PS on a calendar year basis.

B. Company wants to merge the MP into the PS plan.

C. Company hasn't made the 2001 MP contribution yet.

D. Can the company put the MP contribution into the PS plan or

does it have to maintain the MP until the contribution is made

and then merge?

Is calendar year 2001 the deciding year for selecting the current or prior year testing or has that been extended to 2002?

Can an employer limit the compensation subject to a match; for example, match dollar for dollar up to 3% and $100,000 of compensation

A plan has 3 month eligibility for deferrals and 12 month for employer contribution. There has been a number of terminations during the 2001 plan year.

In counting the number of participants, in order to determine if there has been a partial termination, do I count only those that are participants in the employer portion of the plan (met 12 month eligibility)? Or, must I also count those that are eligible for deferrals, but not eligible for the employer portion of the plan?

Has anyone seen any guidance on the practice of taking an individual's personal brokerage account fees and his IRA account fees and charging the total of both fees to the IRA account? The idea is to decrease future taxable income from the traditional IRA by reducing net gain, since the fees charged to the personal account would be too little to deduct on a 1040 - miscellaneous deductions subject to the 2% floor. This doesn't pass the smell test, but I don't know if I can find specific guidance to prove it.

I believe EGTRRA permits certain payment options to be eliminated from plans that aren't required to have those options. But is that only true when plans are merging? I have a long standing profit sharing plan that has a joint and survivor option because somebody chose it in error several years ago. The ER's been stuck with it ever since. Can the ER elect to eliminate that payment option now? There's no merger or anything else going on -- he just wants to get rid of that option since it was never required in the first place.

A client previously established a Section 423 employee stock purchase plan. On January 17, 2001, the plan was amended to include an evergreen provision. The client's annual meeting was originally scheduled for sometime in November, 2001. Due to a number of factors, the meeting was not held until sometime after January 17, 2002. In other words, the client failed to secure shareholder approval within the 12-month period after the restated plan's adoption.

Other than issue hundreds of W-2s to employees who received discounted stock, is there anything the client can do? Thanks. Ed

Other tha

i worked for company A full time from june 1933 to july 1997. i had a balance in the company pension plan which had a 5 year cliff vesting schedule. the company merged with company B on september 30, 1999 and provided for 100% vesting to any active participants in the plan at that time. does that include me even though i was terminated? am i still an active partcipant if i have a balance ?

i appreciate any feedback....

Is anyone using 7.0? I'm interested in pros/cons, happy/horror stories.

Thanks!

Stacey

We're looking to inform plan participants of the benefits of using Mutual Funds (diversified) vs. individual stocks to help avoid the Enron situation - at least as much as can be controlled.

Has anyone seen a communication piece that can be purchased from a publisher - newkirk / communi-k - that targets the benefits of Mutual Funds?

PS - I've check both of the mentioned publishers with no positive results.

Thanks.

We have a small group of employees who live out of state who are enrolled in a POS and will only receive the out-of-network benefits since the plan is not in their area. We would like to reimburse employees for the deductible since they do not have the opportunity to use in-network providers. Is there a way to reimburse them without the reimbursement being taxed?

What reports must the trustee receive for assets held in self directed brokerage accounts. How much detail about the investments must be provided? I'm assuming it is all even though the Sch H reporting requirements have changed.

We have a client whose employees are part of a PEO. The PEO maintains a 401(k) plan and the employees participate in that plan. The owners of the company have their own 401(k) and a cross-tested plan (which covers all employees). The question we have been asked is can the owners have the PEO employees participate in the owners' 401(k) plan instead of the PEO 401(k) plan without severing the PEO relationship. If yes, the PEO employees would have access to a larger number of funds then currently offered by the PEO's plan. What issues do we need to be concerned with?

I think an amended 5500 orginally sent to the IRS is to be filed with the IRS, not the DOL, but when I stop and think about it I am not that certain! Can some one confirm what my "short term" memory can't seem to grasp?

Thanks

ED:confused:

Question here guys.

Is there anyway to have a direct deposit of a pay check go in to a Roth. Like say 5% of your earnings get direectly deposited in the Roth.

If so how would i do this?

Brett

Also : How do you guys feel about Charles Schwab?

I have readily seen info on max contribution increases for Roth IRA,401-K plans,Education IRA, etc., but nothing on increase in income limitations for Roth IRA. I see that Edu IRA MAGI phase-outs will increase from 150-160K for Married Filing Jointly to 190-220K. Do Roth IRA income limits increase as well in 2002?

Assume multiple primary bene's (A & b) where an IRA owner dies before RBD.

1. Under the old regs could the bene's make separate MRD elections?

Example, "Bene A" chooses 5 year rule while "Bene B" chooses life expectancy method.

My understanding is that as long as separate accounting is used they could make separate elections. Agree?

2. Is this different under the new regs?

A DRO is received for a participant in a 457(B) deferred compensation plan. The order stipulates that the alternate payee receive 50% of the participant's account balance as of 3/30/99. The plan was converted from another recordkeeper on 7/1/00. The prior recordkeeper will not provide the current recordkeeper with the account balance as of 3/30/99. In addition to that, the account balance at the time of conversion was $250,000. Today it is valued at $85,000. The participant has not taken any distributions. Also, the action for divorce commenced on 3/30/99 and was settled on 10/24/01.

How do we determine the amount due the alternate payee? Do we split the account based on the current account balance? Is there any regulatory guidance on how to split accounts when there has been a decline in the market value?

Does anyone know of a website where one can view the various actuarial tables used in cross-testing, such as UP84 8%?

I have a client who has had a fully insured welfare plan since the early 1980s and it has always had over 100 participants. It turns out that no 5500s were ever filed.

They are very conservative and they'd like to file the delinquent 5500s under the DFVC, but how many years must they file under DFVC. The initial DFVC guidance in 1995 indicated that DFVC was for filings after 1/1/88. Does that mean we need to go back to 1988 and no further, or something less?