Is there any correction procedure such as EPCRS for 401(a), 403(B) and SEP's for dealing with excess deferrals in a 457 plan? It doesn't appear that EPCRS would apply to a 457 Plan. Is it just a matter of distributing the excess deferrals and adding the amounts to the participants' W-2's? The employer is a non-profit healthcare organization which maintains a 457 and a 401(k). It just recently found out that a number of participants have exceeded the 457(B) limit for a number of years. Is there anything from the plan side with respect to the IRS' overseeing the correction to insure qualification is maintained?

Is there any correction procedure such as EPCRS for 401(a), 403(B) and SEP's for dealing with excess deferrals in a 457 plan? It doesn't appear that EPCRS would apply to a 457 Plan. Is it just a matter of distributing the excess deferrals and adding the amounts to the participants' W-2's? The employer is a non-profit healthcare organization which maintains a 457 and a 401(k). It just recently found out that a number of participants have exceeded the 457(B) limit for a number of years. Is there anything from the plan side with respect to the IRS' overseeing the correction to insure qualification is maintained?

The Truth in Lending Act provides that a lender is subject to Regulation Z if credit is offered or extended to consumers on a regular basis and such credit is subject to a finance charge or repayable in more than four installments. Credit will considered extended on a regular basis if concumer credit has been offered more than 25 times in a calendar year. Does this mean that there must be 25 new loans in a calendar year or is Regulation Z triggered once there are 25 outstanding loans in total?

Thanks in advance for any guidance.

Don't ask me how the SSA makes these projections, but here are the estimates for the next 9 years. (last year's high cost estimate was 80,100 and we ended up at 80,400). The actual wage base for 2002 is usually released in October.

Projected Taxable Wage Bases

Year low cost intermediate high cost

2002 85,200 84,900 84,600

2003 89,100 89,100 87,300

2004 93,600 93,300 90,600

2005 97,200 97,200 96,600

2006 101,100 101,400 100,800

2007 105,000 105,900 105,900

2008 109,200 110,400 112,200

2009 113,400 115,200 117,900

2010 117,600 120,000 123,300

www.ssa.gov/OACT/TR/TR01/V_programatic.html

This is the most recent summary of state tax withholding provisions that I have seen:

http://www.cigna.com/professional/pdf/CPA_iidw0201.PDF

I'm pretty sure some things are out of date. Does anyone have a more up to date / complete list or link?

(Interestingly, if you look for this on the Cigna website, the link is inactive.)

Is there any requirement for a plan sponsor to provide a plan participant with ...

a history of their transactions in the plan?

transaction details?

employee's rate of return on investments?

Or are the ERISA disclosure to participant requirements (SPD, SAR, statement of accrued benefits, etc.) the only ones that apply?

If I am a managing member of an LLC not currently on payroll (my share of net profits reported on K-1) can I participate on the company sponsored 401K plan. Can I participate in the company sponsored health insurance (Cafeteria plan)?

I recently got remarried and went to change my 401K beneficiary form. Because I have a substantial amount of money in this account I want to split my beneficiary to a split between my new wife and my two children. The form that my company supplied me indicates that I can not designate a new primary beneficiary other than my wife unless she gives written consent. This seems like it can not be right since I acquired these assets prior to marriage. If this is the case what law supports this requirement.

What premium do you charge to continuees when the carrier charges you age and gender banded rates as opposed to composite or average rates? The employer charges the active employees based on an average that the employer determines, even though the carrier actually bills the employer based on the actual age and gender of the employee.

Hello, everyone...

Financial journalist checking in, preparing for an upcoming article. This is my first post, but this seems like a great board!

What are the minimum fiduciary responsibilities, if any, a 401(k) sponsor has to plan participants? Have any been successfully sued for, say, allowing a 59 year-old employ to invest most of his plan into a high-tech fund that tanked right before he retired?

What are the minimum standards--either by statute, caselaw, or common practice--of employee education regarding 401(k)s?

Many thanks,

Jason

Ft. Lauderdale, FL

With the new regulations that permit rollovers between 401(k) and 403(B) plans, there is no longer a need for my church client to maintain both types of plans. They would like to merge the two plans together. Anyone who has seen anything commenting about this possibility, I would appreciate the info.

Thanks.

I am interested in finding out what reporting metrics other employers ask of their health plans for HMO, POS, PPO, alternative funding arrangements, etc. (For example do metrics include claims experience, utilization, benchmarks to other like size groups, MLR, etc) Do you have examples of reports you can share? How often do you recieve reports and in what format?

Thanks in Advance!

My former employee leaves contibutions in the plan post termination until 5 year of non-service have past. Then the constributions are forfeited. However, the summary plan description says that the participant is always entitled to their contibutions and the earnings on both the employee's and the employer's contribution. When the five years had passed, the conpany contributions were withdrawn, but the earnings on those company contributions remained. In fact the comapany issued me a letter explaining this and stating the amount to be removed. Subsequently (one year later), the plan administrator has changed and in the transfer, the earnings on the company contributions were removed.

To me this seems to violate the plan. Any suggested course of action?

I have a client who sponsors a db pension, 401(k) and money purchase pension plan.

The money purchase pension plan is a social security replacement plan under which the employer contributes 7.65% of compensation and the employee contributes 7.65% of compensation.

The employee poortion is currently after-tax, but the employer is considering utilizing 414(h) and treating the employee portion as employer pre-tax contribution.

Other than 415 issues with the definitiuon of compensation, is there any issue that would prevent me from amending the 401(k) and defined benefit pension plans to define compensation for benefit purposes (not 415) to include the pick-up contribution?

Hi -

Does Domestic Partner coverage need to be deducted post-tax, or can it be deducted pre-tax?

I have seen on another site where someone had a client who was charging it all pre-tax, but I'm being told (and it has been my understanding) that it must be deducted post-tax.

On the same note, if it is a post-tax deduction, is only the additional premium for the domestic partner charged post-tax, or is the entire amount?

Can someone clarify?

Thanks much!!!!!

I recently separated from an Employer or the Employer terminated me for undefined reasons. I tried to get my 401K distribution approx. 8 days after my employment was terminated. I was told by the plan administrator that I was listed as on a "Leave of Absence" and they could not give me a disribution until this wa cleared up. 41 days later the plan administrator had the same response. 43 days passed from my first call until the plan administrator/employer changed my status of employment. In this time I lost approx. $50,000 in vested funds. Is my employer liable for this loss in any way?

A prospective client informed me that the rabbinical council advised him that is was acceptable to take a non-taxable distribution of $15,000 per year from his 403b account for "living expenses." What section of the code or PLR supports this position?

Client has a 401(k) plan subject to J&S rules. A married participant is requesting a distribution and has been married only a few months. Can the plan administrator make the distribution without the spouses consent under the one-year marriage rule? Does the plan document have to specifically state this rule? Thank you.

Can anyone point me in the direction of more detialed info about the new portability issues. For example when rolling over a qualified plan into a 403b plan, can the assets be commingled, or do they need to be accounted for seperately. Can a SEP-IRA composed on employer contributions be rolled over into a 403b account? Are there any resources (articles, etc.) out there that talk about the record keeping issues for these rollovers. Any help would be appreciated - thanks in advance

I'm taking an informal and unscientific survey of those who plan to file a determination letter request for their (k) plans by 12/31/2001. Schedule Q (nondiscrimination results) is optional. Given the current IRS study on the DL program and the thought being given to eliminating it altogether, I'm interested in learning whether you plan to file Schedule Q with your DL request and, if not, why not.

Please feel free to reply offline if you aren't comfortable posting a reply in plain view!

Thanks in advance for any replies.

hank