Does anyone have a sample 402h notice?

I'm an employee of a privately held national company that has an ESOP. Since I've been with the company (1987) the stock per share value has remained an even $100.00. On this years statement the value has been cut over 80%. I nearly passed out when I saw this. We are not a Dot-com and have been around over a hundred years. How can an employee such as myself verify that the company isn't playing with the numbers in order to balance their books and/or what recourse do I have. Employees do not have voting rights and to my knowledge there is no employee at large. Am I screwed? Thanks

What are the trustee's responsibilities or duties, if any, when assets of a pension plan are insufficient to pay the benefits upon plan termination? The employer of the pension plan is a professional service company, therefore, the plan is not governed by the PBGC.

Given: A stste retirement system is excluded from Soc. Sec. coverage. In general, the state system defined benefit formula meets the IRS "safe harbor" test for exclusion from Soc.Sec. coverage. However, for some individuals, the state formula falls short of the "safe harbor" test. What is the Soc. Sec. status of such individuals?

I have a PEO who has a participating employer, who is a 50% owner AND is the only employee who actually deferred dollars for the year. (Plan was offered to all and there are other ee's eliglbe but all elected out) Is there anyway possible for employer to pass ADP/ACP putting in the maximum $10,500?? The plan document was not amended for safe harbor.

Help!!!!

A client currently has a non-Erisa 403(b)Plan (salary reductions only) and would like to establish an Erisa 403(b)Plan with employer contributions. Does the Erisa required Plan Document need to be in place before they make a contribution? during the year that they want to make a contribution(ie, 2% of salaries from 7/2000 to the end of the year)? How does that transition work?

Are there any Gust provisions that apply to local government defined benefit plans other than USERRA?

Yesterday I noticed a CFP commenting on CNBC about a recent PLR allowing a "strechout IRA". Does anyone know the PLR referenced?

I know there was a PLR allowing the bene of a bene to continue the MRD distributions and not to be forced to take a lump sum (as some custodial agreements state).

Additionally, there was a PLR that stated that you can use "seperate accounting" for the MRD's if there are individuals on the bene form.

Any other PLRs that broke new(?) ground??

A Mexican with a U.S. social security number and participant in his company's Pension Plan dies. He completed a beneficiary designation form, but at the time nobody noticed the absence of a social security number for the designated beneficiary. The beneficiary is determined to be a Mexican National without a USA social security number.

Does anyone have experience with this kind of issue? What are the laws regarding distributions to beneficiaries outside the USA?

Our company plans on increasing the employee contribution for medical and dental insurance. As of yet, they will not tell us how much the increase will be. Our open enrollment period passed about three months ago. My question is can they legally make a change to the plan when it is not the open enrollment period. What if an employee decides he/she can not afford it and would rather go onto their spouse's plan? They would not be able to drop their coverage because it is not open enrollment and not considered a qualifying event, correct? I would appreciate hearing anyone's thoughts on this.

Does a city government defined benefit pension plan have to require spousal consent for distributions such as lump sum and annuities?

When an ESOP purchases stock from an individual, is the ESOP subject to IRS Form 1099 filing requirements? If the selling stockholder elects Section 1042 nonrecognition treatment in connection with the purchase of that stock, does either the Company or the ESOP have to file anything with the IRS? The Company has signed a consent to the application of 4978 and 4979A and has delivered that consent to the selling stockholder. Are all IRS filing obligations on the selling stockholder?

Can the plan administrator of a stock bonus plan reallocate employer stock (non-registered) that is already allocated to certain employee accounts? The employee accounts that are debited employer securities will be credited with an amount equal to the value of the employer securities.

The annuitant recently passed away with $300,000 in an annuity. She originally assigned only 2 beneficiaries to the contract with the mindset that these 2 children would divide up the annuity amongst the 8 children. Other facts are: The Annuitant lived in Louisiana, one beneficiary also lives in Louisiana, the other beneficiary lives in Georgia, and the remaining children lived throughout the United States and Canada.

1) Now that she has passed away, how can this be divided?

2) What are the tax ramifications of dividing this? Federal and state? Beneficiary and/or children?

3) Can the beneficiaries be "reassigned" according to the will? (The will is very generic and basically states that the estate is to be divided equally among the children.)

4) What are some other methods that can be used to divide up this annuity?

The bottom line question is “What should they do?”

What happens to forfeitures from (hanging, orphan, related, "attributable-to", associated) match? Do these forfeitures get treated the same way as any other forfeiture unless the plan document specifically provides otherwise? If the plan document does not specifically address how these match forfeitures are to be handles, can the plan sponsor choose what to do each year (use to reduce expenses, use to reduce future contributions, reallocate)?

Suppose an employee and his spouse are covered under an employer's insured group health plan for the plan year beginning January 1, 2000 and ending December 31, 2000. The employee and his spouse are in the middle of a divorce during the annual open enrollment period for the plan year beginning January 1, 2001 and the employee decides not to cover his soon-to-be ex-spouse. For plan years prior to January 1, 2001, the employer only offered group health care. However, for plan years beginning on and after January 1, 2001, the employer will offer group health care, dental care and vision care.

Assuming that the employer concludes that the employee is dropping his spouse from coverage "in anticipation" of a qualifying event (i.e. the divorce) so that the ex-spouse will be entitled to COBRA coverage beginning on the date of the qualifying event(the date of the divorce), what COBRA coverage must the employer offer the ex-spouse? Is the ex-spouse only entitled to group health coverage under COBRA since this is the coverage she had prior to the date she was dropped in anticipation of the divorce or is the ex-spouse entitled to group health, dental and vision coverage under COBRA since this is what the employer offers active employees at the time of the qualifying event?

In determining the matching contribution for a SIMPLE, do you include the value of excess group-term life ins and personal use of auto in compensation?

The Required Minimum Distribution for an active employee in a 401(k) plan is calculated incorrectly (caluclated using single life rather than the correct joint life calculation), resulting in too large a distribution for 2 consecutive years. The plan document does not allow for in-service distributions. Must this be corrected? If so, what is the correction (follow the overpayment correction guidelines in Rev. Proc. 2000-16)? How is the 3rd year required minimum distribution calculated (using the actual prior year 12/31 balance, or the 12/31 balance that would have resulted from paying the correct amounts)? Can this be corrected by reducing the 3rd year required minimum distribution by the amounts of the overpayments (possibly adjusted for interest) in the prior 2 years?

In opening a Roth IRA for a minor (16) with earned

income is there a minimum contribution amount in

Massachusettes. I have looked in state sites but

can only find info on minimum distributions. Any

other info on this topic would be appreciated

More than one of my tax clients has inquired about the possibilty of annual SEP to Roth conversions. I have received mixed opinions on the feasibilty of this, but I think it can be done, providing there is sufficient income to fund a SEP, and income remains below the Roth limit. Please, if anyone has additional insight, or perhaps a Code or Reg cite, I would greatly appreciate it. Thank you.