At the risk of sounding dumb could someone explain to me why we need minimum distribution rules in pension plan other than the fact that it is in the IRC?

In 1998 I rolled over $9468 from a 401k plan into a Roth IRA. I have paid no tax on the rollover. This year I took a partial distribution (6666.67) from the Roth IRA for the purchase of my first home. What is the taxable portion of this (non-qualified) distribution?

An employer has two divisions. One division in the USA and one division in the UK. Each division has it's own pension plan and each division has about 400 employees. A small group of the UK employees will be working in the USA division for about 8 months and will be paid in US $$$$. Does the service in the UK division count toward any service requirement for eligibility in the US division's plan??

There is a DB plan termination where all participants are 100% vested in their accrued benefit. There are after-tax employee contributions made to the plan. In making the distribution do you 1) add the contributions to the amount of the accrued benefit? and/or 2) do you use the compute the taxable amount using the after-tax employee contribution credit?

Are there any custom reports for Defined Benefit plans???

Start up bank wants to establish Safe Harbor 401(k) Plan and fund 3% Employer contribution with bank stock contributed and expensed by bank holding company (will keep bank earnings up for first several years). I was thinking that this was ok and that bank stock would still be considered qualifying employer securities (ok to fund Safe Harbor obligation) but thought someone might have been involved with something similar and could share thoughts/problems with doing so.

Aware that bank stock (ER contributions) will not be afforded any 404© protection (employee deferrals will be invested in mutual funds), but wondering about other issues to consider.

What should be contained in a "Successor Trustee Letter"?

Pretty straight forward question: Can a Non-qualified plan be amended and merged into a 401(k) Plan? I suspect not, but was hoping someone could confirm.

A US Employer sponsors a 401(k) Plan for its US employees. The Puerto Rico division of this company also sponsors a separate Plan for employees located there ("PR Plan").

It appears that Plan provisions are similar, if not identical. However, the big differences in the documents include a difference in the name of the employer (US Plan - ABC Company/PR Plan - ABC PR Company), the PR employer is organized under the laws of PR, and the PR Plan references the PR Internal Revenue Code.

The Plan names are identical. However, the PR Plan references salary reduction contributions as 165(e) contributions. The surronding language convinces me that this translates into 401(k) of the US Code.

The employer would like to merge these 2 plans into 1, presumably, merging the PR plan into the US Plan.

Can this be done? I thought that US Plans could not cover employees of companies located outside of the US. But is this really a non-US company? Also, is Puerto Rico a territory of the US or something similar to that in which they are considered US soil for these purposes?

Thanks for any comments!

When a participant terminates employment, how long does he have to repay an outstanding loan balance in full? We have been administering our Plan using 60 days from the termination date (and then the balance becomes a taxable distribution for the year), but are now being told 60 days is incorrect.

With regard to top hat plans, there are a couple of PLR's out there that state that a participant must make his deferral election by December 31 of the prior plan year in order to "satisfy the 401(k) cash availability rules."

what would happen if a person decided to enter the plan in the middle of the plan year without making the prior year election?

(1) Is the employee's life the measuring life for the straight life annuity referred to in 1.401(a)(4)-5(B) for payments to a beneficiary or alternate payee of a restricted employee? 1.401(a)(4)-12 states: "Straight life annuity means an annuity payable in equal installments for the life of the employee that terminates upon the employee's death."

(2) If the employee's life is the measuring life, do 401(a)(11) and 417 override 411(d)(2), and what is the employee's life expectancy after the employee's death?

(3) If the beneficiary's or alternate payee's life is the measuring life, does 401(a)(9) override 411(d)(2), and should the employee's life expectancy be used for a beneficiary that is not an individual?

What is the best way to correct a situation where excess contributions were not refunded (based on failure of ADP test) by the deadline (12/31 of year following the plan year in question) in a 401(k) plan?

In a cafeteria plan where the employer pays the full cost of the short and long-term disability benefits for employees, is there any way for the employees who become disabled to receive non-taxable benefits?

When a 401(k) Plan participant takes a hardship withdrawal, I know they are not allowed to contribute to the Plan for one year. After the year is up and they start contributing again, doesn't their con amount have to be limited in some way? And if this is true, where can I find it in the regs?

Company A buys Company B in October 1999.

Company A has a 401(k) Plan which allows an employee to enter the Plan on the date of hire. For the 2000 Plan Year, can we exclude all of Company B's employees from the ADP/ACP test on the basis of statutory exclusions since they worked for Company A for less than 1 year? Or do we have to use their original date of hire with Company B?

Note that company B's employees did not enter the Plan until January 1, 2000 since this was not a controlled group for the 1999 Plan Year. Prior to 2000, Company B had its own 401(k) Plan which is in the process of being terminated.

Any help would be appreciated.

Top Heavy 401k uses enhanced match (100% up to 4%) for Safe Harbor. (Yes, he should have used the non-elective safe harbor but there are still a few hard headed folks out there.) Plan also provides non-safe harbor fixed match of 50% up to 6%.

Since the fixed match is safe harbored from 401(m)testing, it appears that we can use the non-safe harbor match to satisfy (as much as possible) the top heavy minimum, provided it passes under 401(a)-4. Employer will then fund any unfulfilled top heavy minimums. Does anyone have any experience with something like this?

Does a group health plan have to pay the services of an interpreter at a doctor's office if a participant is deaf? Does anyone know if this is required by the ADA? If so, does anyone know how the reimbursement for these services is to be calculated: 100% or subject to the same copay rate as the doctor, etc.?

If a profit sharing plan chose to have QJSA as normal form of distribution and also allowed a lump sum, do the new 411(d)(6) regs allow the plan to eliminate the QJSA and offer only lump sum? Put another way, do the regs allow you only to eliminate "optional" forms of distribution, such that if your QJSA is the "normal" form, you have to keep it even though the plan would otherwise not be required?

I need info on Section 165 plans, the Puerto Rico version of a 401(k) plan. Any help would be appreciated.