Have a client who finally submitted year end data for 12-31-00. They have a participant who stopped making loan payments in March 2000. Do we go back and issue a 2000 1099-R for the loan and have the individual amend their 1040 or can we issue a 2001 1099-R?

I have a question regarding valuation of employee stock in a 401(k) plan. Regulators are telling a particular bank that their current process does not comply with ERISA.

Their current process is that they get an annual valution, which they then convert to multiples of book ( a term I do not understand) at time of valuation, then use that as a multiple of whatever book is at time of transaction. Does this sounds proper?

Can a participant sign the spousal consent on their loan request on behalf of their overseas military spouse if he/she has a power of attorney?

Participant in cafeteria plan is divorced. Ex-spouse elects coverage under participant's group health plan under COBRA. Divorce agreement requires participant to pay ex-spouse's premium. May the participant use the cafeteria plan to pay the ex-spouse's premium on a pre-tax basis?

Assume a large corporation sells off all the assets of a small division of 50 employees (and all 50 employees go to the buyer). The division has its own 401(k) plan. The corpoation would like to terminate the division 401(k) plan and distribute assets in 2001. (Assume the asset sale exception for 401(k) distributions does not apply.)

Since there are other defined contribution plans in the controlled group the corpoation can terminate and distribute assets only if the 2% test is met. The 2% test looks at the eligible employees as of the plan termination date.

Is this rule avoided simply by choosing a termination date after the closing date? On the day after the closing there will be no employees eligible for the division 401(k) plan- they will all have terminated employment.

If instead the corporation terminates the plan prior to the closing, is the 2% test violated if one of the terminated employees is rehired into the corporate controlled group within 12 months following the termination date? That is, for purposes of the 2% test do you need to track terminated/rehired employees?

Thanks.

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Guys,

Although we all seem to be aware now that 457's can be run out into an IRA starting the first of the year, does anyone know about the circumstances of the roll?

i.e - most people at retirement have a lump sum option to a degree. However, I am unaware if a person is already retired or considering retiring under the new law, will they havea lump sum option, and to further the question - will tehy face tax consequences on rolling the plan to the IRA?

I look forward to insight - thanks, I'm a new user who has found reading from this site quite profound.

Does anyone know the web address where the new Form 5558 can be downloaded?

A client has asked me about asset management fees.

They have been told that according to investment industry standards, that equity management fees should not exceed 50 basis points and that fixed income management fees should not exceed 30 basis points.

Does anyone have a web site or resource that I could use to address this issue?

A client has asked me about asset management fees.

They have been told that according to investment industry standards, that equity management fees should not exceed 50 basis points and that fixed income management fees should not exceed 30 basis points.

Does anyone have a web site or resource that I could use to address this issue?

If a Terminated vested employee dies after his NRA and never applied for and therefore never collected a benefit, I would say that the benefit due upon discovery and payable to the estate is the retroactive benefit payments accumulated from NRA to date of death and based on the normal form of annuity. If married at NRA and the normal form is J&S, then I believe the estate is entitled to retroactive J &S payments accumulated from NRA to date of death. If the spouse survived the participant, then would you agree that the spouse (or the spouse's estate) is due the back survivor payments? And lastly, if the spouse is still living, she will continue to receive the survivor annuity until she dies.

This all seems logical, however, I'm confused over the forfeiture rules under 1.411(a)-4(B)(1)- Death. Can someone explain what is being said here and perhaps I need to alter the above analysis?

Thanks

I am conducting a survey as part of a research project I am currently working on for my Master's Degree. This survey is intended for employees who have access to their company's employee benefits and basic human resources information via a web-based tool (i.e. a benefits website or company Intranet). I am requesting a few moments of your time to respond to my survey. I don't have any incentive to offer for your participation other than my eternal gratefulness in aiding my research process. I also invite you to pass along this web address to anyone else you may know that would fit my target respondent profile. To take the survey please go to the following website:

http://www.inquisiteonline.com/VP7QT2

Thanks in advance for your assistance!

I am conducting a survey as part of a research project I am currently working on for my Master's Degree. This survey is intended for employees who have access to their company's employee benefits and basic human resources information via a web-based tool (i.e. a benefits website or company Intranet). I am requesting a few moments of your time to respond to my survey. I don't have any incentive to offer for your participation other than my eternal gratefulness in aiding my research process. I also invite you to pass along this web address to anyone else you may know that would fit my target respondent profile. To take the survey please go to the following website:

http://www.inquisiteonline.com/VP7QT2

Thanks in advance for your assistance!

I am conducting a survey as part of a research project I am currently working on for my Master's Degree. This survey is intended for employees who have access to their company's employee benefits and basic human resources information via a web-based tool (i.e. a benefits website or company Intranet). I am requesting a few moments of your time to respond to my survey. I don't have any incentive to offer for your participation other than my eternal gratefulness in aiding my research process. I also invite you to pass along this web address to anyone else you may know that would fit my target respondent profile. To take the survey please go to the following website:

http://www.inquisiteonline.com/VP7QT2

Thanks in advance for your assistance!

A plan allows an employee to elect between pre-tax and after-tax premium payments for health and dental insurance. The plan has adopted the change-in-status rules of 1.125-4.

The employer wants to know if the employees who elect after-tax payment can change their elections at any time or whether they must follow the change-in-status rules. Realizing that the plan document may need to be amended, can the after-tax employees ignore the change-in-status rules? The Regulation only says "elections" and does not differentiate between pre-tax and after-tax.

Thanks!

Hoes does EGTRRA affect dividends for stock of closely-held companies?

Hello -

We have a participant who submitted a central home HEPA-filtration system, recommended by their physician, for reimbursement under their Health Care FSA.

I know that air conditioners and humidifiers are eligible if by recommendation by a physician. I am not clear on air filtration, however; the last "list" of ineligible expenses I was able to obtain (for 1999-2000) shows air filtration not eligible even if recommended.

If there is no other documentation out there on filtration systems, which says "No" to reimbursement, could this be reimbursed under "capital expenses" since it is a central system for the home?

Thanks!

If I have a plan that invests in a hedge fund that is an LLC, do I have to report the management fees on a sch. c? The fund provides a k-1, which does identify the management fees, but i am not sure i need to bother with the schedule c.

It's my understanding that forward averaging is not available for 403(B) assets . However, now that 403(B) assets can be rolled into a 401(k) plan, how will this impact forward averaging treatment?

It's my understanding that forward averaging is not available for 403(B) assets . However, now that 403(B) assets can be rolled into a 401(k) plan, how will this impact forward averaging treatment?

It's my understanding that forward averaging is not available for 403(B) assets . However, now that 403(B) assets can be rolled into a 401(k) plan, how will this impact forward averaging treatment?