How can an individual start an IRA account? It is not offered by my employer, and I would like to open an IRA account. Is that possible?

Thank you for any help/info you provide!

Does the recent revision of wage withholding tables by the IRS in connection with the new tax law and the change in rates impact withholding on periodic payments by qualified plans and 457 plans?

Sometimes we forget what we should know. If the client made a QNEC to pass the 2000 tests, can I use the ADP for the non-highs that INCLUDES this QNEC for 2001 testing? The plan is closing down and I am trying to do a final test for 2001 before everyone takes their money!

In interpreting the language to determine whether an S-Corp ESOP has disqualified persons under the 10/20 test - What does it mean to look as if synthetic equity were allocated ESOP stock? What is synthetic equity? How are others applying this rule?

Generally speaking can a thrift plan accept rollovers from a 401(k) plan?

An employer sponsors two plans and the participants are identical in both. he is terminating one plan and would like to transfer some real estate he has in that plan to the other plan so that the participants retain the same share of the property (in the profit sharing plan) as they had prior to the termination in the money purchase plan.

what issues does this raise if any? what type of documentation should be obtained either from the trustee or the participants (consenting to transfer)?

Our business has decided to get more involved in cross-testing; previously, we have sub-contracted the actual cross-testing to a law firm. Consequently, we are not as familiar with the calcs as we would like.

I'm building some macro-driven spreadsheets to handle the cross-tested calcs. So far, I only have limited examples of plans that have been cross-tested for use in confirming my calculations. Once I'm confident of the calculations, I'll both expand the spreadhseet to accomodate a variety of situtions, i.e., 401ks, and complete the automation. I have attached the zipped Excel spreadsheet I am developing. I would appreciate anyone confirming my calcs by comparing its results against calcs you have undertaken. Alternatively, if you could send me your calcs, I'll run the numbers.

I consider myself a top-notch spreadhseet writer, and my finished product should be a productive tool. Anyone who helps me trouble-shoot my spreadhseet and/or can answer questions about cross-testing I will undoubtedly have, can have a copy of the spreadhseet when I have completed it.

How can an employer stop a discretionary match mid-year in the following situation:

Employer has been putting match in on a payroll period basis.

Plan document implies that the match will be determined based on annual deferral amounts.

An employee that had deferrals has terminated employment.

The plan document is silent about true-ups.

The employer is not willing to freeze participant's abilities to make deferrals.

Is the employer stuck with contributing at least the match rate of the employee that terminated to all other employees based on their deferrals for the rest of the year? If so, cite or support?

Could the employer amend the plan to a short plan year, and immediately start a new plan year?

The employer claims to have stopped the match mid-year several years ago without any problem - has there been any change in this area over the last few years?

Issues (some also mentioned in above threads):

1. Following terms of the plan document

2. Discriminatory rate of match [1.401(m)-1(a)(2)]

3. 411(d)(6) - had participants accrued right to a match of at least highest rate made so far?

4. Definitely determinable formula [1.401-1]

A Plan amends lump sum provision from 100% PBGC rates to 120% PBGC rates (dist over 25k). Eff date of 7/22/96, adopted 9/12/97.

Say participant receives lump sum 9/1/96. S/ lump sum use 120% rates or 100% rates?

Say part. receives lump sum 10/1/97. S/ entire lump sum be based on 120% rates or s/ accd ben as of 7/22/96 be based on 100% rates and accrual after 7/22/96 be based on 120% of rates. That is, is there 411(d)(6) protection in this case?

Thanks,

Gary

Does anyone know of a training class or seminar that provides an overall understanding of 5500 filing for a variety of benefit plans?

Thanks for any assistance.

Greetings,

I am a former employee at a university where I participated in the 401(a) plan (until recently, I thought it was a 403(B) plan). TIAA/CREF was/is the custodian. I'm no longer employed. When I left the university, I tried to roll my retirement account into an IRA. However, I was told that my school's plan does not allow a rollover until I'm 55 (I'm currently 38). I find this very paternalistic and annoying.

Anyways, I was looking through a summary of the new tax bill and I read a summary that indicated that there are new requirements of retirmement plan portability for employers. However, I can't seem to make clear sense of what I'm reading.

Does someone know if these provisions will force my old employer to allow me to do a rollover?

Regards,

Jeff

An employee who made insurance and FSA elections at the beginning of the plan year in January would now like to enroll his spouse. The spouse lost her job in March and took COBRA at that time. Now the employee wants to enroll her in insurance and increase his FSA election.

My initial reaction was that the spouse cannot be enrolled because the qualifying event took place 3 months ago, but I am not sure if moving from COBRA would make a difference.

Thanks for the help - I am new to the industry and can use it!

Does military retired pay count as income for the purpose of contributing to a Roth IRA?

Hello out there!

I am reviewing a plan that is currently a standardized prototype, has 1 year and age 21 as eligibility, with a 1000 hours of service requirement on profit sharing and match contributions.

Company sponsoring plan has sold. Trustee is still the former owner.

New owner went to a bank trust department and had a new non-standardized plan designed. Intends to have assets transferred from on to the other as of 6-30-01.

New plan requires end of year employment for employer contributions.

Is this a cut-back of benefits or eligibility? Can they just "start all over" with a new plan design? What type of things can be changed without grandfathering in long term employees? (i.e. can triggering events for distributions be changed, can normal retirement age be changed, shouldn't there be a summary of material modifications, ????)

I am just so confused that the new owner could just run off and start something new, without considering the plan that is in place.

please provide insight.... thanks!

Assuming that my health insurance policy is not underwritten for 100% participation....

Is there anything illegal about allowing an employee to opt out of a non-contributing health insurance plan. Our plan provides FREE health insurance for employees and their eligible dependents. I have a few employees who have declined coverage (even though it is FREE) because they have health insurance already and do not want to deal with co-insurance.

I am being told that employees cannot elect to opt out of a non-contributory health insurance plan. If I am offering it to ALL employees, I am clearly not discriminating under ERISA.

I have also been told that if an employee does opt out, they should be receiving the premium paid to them? Is that true.

Any assistance would be appreciated. Thanks.

One of my clients has recently purchased assets of another company. I can't find anywhere in the document when these employees can begin to participate in my client's plan. Do they enter immediately or are they subject to this plan's eligibility requirements? Any help would be appreciated!

Through an internal audit we(company) have found a participant that took a loan out last year, but has never had payroll deductions withheld. We called our TPA and they said we must default the loan. Do we have any alternatives due to the fact it was the company's error and not the employee? I thought we could just start the payments up and extend the life of the loan.

A defined benefit pension plan participant is 49 years old in May 2000. Plan provides an early retirement subsidy benefit at age 50 and 10 years of service. DB Plan is frozen as of December 2000 and the Plan is subsequently amended to provide for termination. In May 2001, after accruals under the plan have been frozen, but before distribution of the plan assets, participant turns 50 years old. Does the participant still qualify for the early retirement subsidy?

I have not found any IRS guidance.

Any input would be greatly appreciated.

Thank you.

A. Boyd

Does a real estate investment trust (REIT) fit definition of partneship/joint venture interests or real estate in Schedle I, Part 1, question 3? Or, have we caused enough problems for our client by answering yes to Part II, 4 g?

A former employee of one of our clients has passed away. His spouse is his primary beneficiary. This plan is subject to the QJSA rules & they never filled out a waiver. The spouse would like to receive her distribution as a lump sum rather than as an annuity. As the spouse, is she allowed to make this choice after her husband's death?