We currently are looking at updaing our firewall protection for our VRU and Internet servers. Does anyone have any recommendations?

Thanks in advance.

I have an odd situation I can't seem to figure out even though we have received guidance on this issue from Notice 2001-56. A law practice "divorced" in 2000 and 2 of the 3 partners received distributions in 2001. The 2 partners owned no stock in 2001. I understand that distributions in 2001 are taken into account for the 2002 top heavy determination. But are the former partners considered Key, Non-key or Former-key? It doesn't appear that they would be Key under EGTRRA (no stock ownership in lookback year), but it seems odd that I can use their distributions to essentially bring the plan out of top-heaviness. Any thoughts?

Any recommendations on firms/consultants to use who can help me put together a written policy governing use of our corporate aircraft?

Prior to EGTRRA 2001, the last day to make a contribution o an Education IRA, was the day before the beneficiary attained his/her 18th birthday.

Also, before EGTRRA, the deadline for making a contribution to an education IRA was 12/31 of the year for which the contribution was being made.

EGTRRA extended the deadline for making the contribution to the tax filing date of the beneficiary. Although EGTRRA did not address the age 18 issue, with respect to making the last contribution, it would appear that the extension of the deadline,(to tax filing date) would enable an individual to make a contribution, for the year they reach their 18th birthday, up until April 15 of the next year.

Some practitioners seem to think that the April 15 (tax filing deadline) applies only to contributions that are made for ages 17 and lower.

Any opinions on that?

The city I work for currently has 2 pensions plans. ( the A plan has a 2.5% mulitplier, the B plan a 1.5% multiplier) They are termed a "68" credit plan. Whereas if you have a minimum of 15 years service and minimum age 50 but service and years must equal 68, you can retire with full pension. The city manager obviously has decided this plan is not cost effective. In the presently negoiated contract they are increasing the multiplier for both plans to A-2.6% B-2.5%. But in order to get the increased multiplier you must work 20 years and cannot retire before age 55. In addition they are offering a 3 year drop plan but only those who stay to age 55 w/ 20 years can participate in it. All are considered "normal" retirement plans in our contract. My question, and sorry this is so long, can they legally only offer the drop plan to the last group? Any help would be greatly appreciated. If nobody has an answer I would be forever greatful to anywhere you can steer me for an answer. Don't know if this matters but the plans we are discussing are for general bargaining employees, not police or fire. Thanks so much in advance.

The Plan document for this governmental plan gives the Plan Administrator the right to distribute the the vested account balance to the Participant after separation from service. Why woudn't IRC 411(a)(11)(A) apply, effectively precluding the Administrator from distributing assets without the Participant's election if the account balance is in excess of $5000?

My company notified the employees that they would be switching our 401k plan to another 401K provider. We were promised to have this transition completed within a 6wk to a max. of 8 week period. During this period which they called a "blackout" period we could not touch our funds... they remained frozen in whatever fund we mapped to.

This period should have ended 8 weeks ago or in other words it has been 16 weeks and no green light yet in allowing us move our funds. I had every intention of moving my complete portfolio from very agressive to stable until the market showed signs of strength. Now within this last 8 week period I have lost 40% of my portfolio. The majority of this could have been avoided if they had kept their promise to us on their transition time.

What is the legal amount of time a company can keep us from being able to move or touch our money. They have killed my porfolio. Any advice would be appreciated.

Hi,

I was hoping that someone would be able to tell me how to calculate the portion of the domestic partner benefit that should be included as taxable earnings. Is it the portion of the benefit that the company pays for? What part of the actual deduction can not be pre tax? I appreciate any and all help.

Thank you.

Talisa

If I opened a Roth IRA with my former employer's pension check, would it be considered taxable income?

I am looking at a prototype flex plan document that calls for the plan sponsor to "advance a sufficient amount to make the required contribution" in the event a plan participant does not have sufficient compensation to make his or her flex plan election contributions. Advanced amounts are to be recovered by way of future salary reductions.

Is this kosher? I can see state wage and hour law problems with the increased deduction from pay. And if this is meant to address an unpaid leave situation, wouldn't it be trumped by the FMLA/Flex plan regs that were issued some time ago?

My question is this.

I am a full time salaried employee who does not recieve benefits. I have worked for the same company for two years and now am realizing the necesity for health insurance. Other employees of the company are offered health insurance and when I questioned my avalibility for it I was giving the run around. I live in New York and I'm wondering if they have to offer it to me?

Any help would be great

Thanks, Kevin

I know this may be a non-issue next year.

Corporation S (seller) sponsors a 401(k) plan. Division D participates in the plan. Corporation S sells all assets of Division D to an unrelated Corporation B (buyer). Corporation B also maintains a 401(k) plan.

Under 401(k)(10)(A)(ii), a distribution may be made from Seller's plan to participants in Division D.

QUESTION: Does Seller still have the option to transfer the accounts to Buyer's plan in a trust-to-trust transfer? Or since 401(k)(10) applies, may the Division D participants demand a distribution? What gives the Seller the right to transfer and not distribute?

Even in 2002, would the Seller have the right to transfer and not distribute?

If it makes any difference, the asset purchase agreement included language that no distributions would be made, but the accounts would be transferred to the buyer's plan.

Thanks for any insight.:confused:

Have taken over a plan where 22% was contributed in 99 and

23 % in 2000. The contributions are made up of deferrals & employer money. Problem is in early 2001 a hce employee was paid out and part of the money was this excess. I do not know how to correct. Should I put this through EPCRS?

We have a medical practice that was bought out by the hospital. The group of doctors at the practice have incorporated and now lease the NHCE's from the hospital. The hospital has a 401k plan with an employer match which the NHCE's participate in. There is no employer discretionary contribution from the hospital.

The doctors have set up their own 401k plan. There is no match, but they do have an employer discretionary contribution. Would the doctors have to make a discretionary contribution for all of the eligible leased employees?

Does the doctors 401k stand on its own for testing? I need help in understanding how all this works (in plain English, please).

Just about every plan I've ever seen has stated that Advisory or Administrative Committee members shall serve without compensation. However, I have a couple of situations where some of the comittee members are not currently on the employer's payroll. They are retirees, and they have asked whether it is permissable for them to receive compensation for their services.

I cannot find anything precluding their receiving reasonable compensation, although there is that worrisome plan language about serving without compensation, that must have come from somewhere. Anyone know WHERE?

My client wishes to augment their flex plan and offer a 50% match of Medical Expense to $125 max, and Day Care to $208 max if the employees elect not to participate in the Health Plan. Is this leagal? I forsee that there will be employees drop coverage alltogether just to get the 50% match. Can you please advise?

Does anyone know whether loans can be made under a frozen plan? I believe that frozen plans are still considered on-going plans, but wasn't sure whether this meant that loans could be taken and repaid through salary reduction.

Our health care plan is a self-funded governmental plan not subject to ERISA. For many years, this plan has enforced a subrogation clause. Anti-subrogation rules apply in our state (NC) but may be preempted by ERISA for self-funded plans.

Since we are not an ERISA plan, but are self-funded, can we enforce our subrogation clause?

Technically, must the top-heavy contribution allocation in a defined contribution plan meet 410(B) coverage testing? I know it would be extremely unusual for the plan to not meet it, but is there any exemption from coverage testing? I'm thinking in particular of a 401(k) plan in which the only contribution other than the deferrals is the top-heavy contribution, and there is a last day requirement for top-heavy.

What are the potential consequences to the sponsor of a 457(B) plan that has not yet put plan assets in trust, as required by 457(g)?