Does the separation from service during or after the calendar year in which you reach age 55 apply to 403(B)?

Box # 7 on a 1099-R (Distribution Code) should be coded a 1 (Early Distribution) for a hardship withdrawal... correct? Even if the hardship was distributed on account of the participant's disability, box #7 should NOT be coded a 3 (Disability). Can somebody please confirm this for me? Thanks!

A participant terminated employment on 9/15/99 and stopped making loan repayments. The loan Balance at date of termination was $13,400.00 Payments were being made bi-monthly prior to termination. Interest was reducing each payment and was $53.70 the last payment date. We want to get this person paid out and handle this correctly. Plan calls for Annual Valuation. Plan has calandar year plan year. I feel that we should handle as follows please provide futher or corrective guidence.

1) Charge $53.70 interest for each pay period missed againt participants account until paid out.

2) Issue a 1099R at time of payout (or end of year?)

3) Try to get this participant to take his distribution ASAP. What do we do if he doesn't.

4) I don't think loan is considered in default for 1999 Form 5500.

Please give guidence!

Are there any differences in the "deemed distribution" rules in the event of a default where a participant loan is secured by real property instead of an account balance? Would there still be a "deemed distribution" of the loan amount upon default but never a "loan offset" since the account would still include the defaulted mortgage?

can two working spouses create two separate $2000 roth ira's? if so is it too late to contribute for 1999

------------------

guy pirolla

I would bet that the Quick & Reilly document has since been revised. At one time, it was thought that you couldn't combine contributions to a Roth IRA with Roth conversions, due to withdrawal restrictions. However, the Service has since issued guidance that addresses these issues, making it allowable to combine them.

Hope this helps.

What if my husband and I exceed the income amount ($150k-160k) within the next few years? Does that mean that we can no longer contribute to a roth IRA? Thanks to anyone who can shed some light to this.

Please help, Anyone know where I can find a listing of status changes (what the law considers)? I remember seeing somewhere, a while back that an "increase in premium" to the employee would constitute for a status change..? Sounds sort of odd - but I know I read that somewhere. Where could I find a listing of what the law regulates as a qualifying event for a status change in Health or Dental Insurance. Any help would be greatly appreciated.

Employer contributions to SEP IRAs may be made up until the employer's tax filing deadline, plus extensions. However, the IRS states that those contributions be reflected in box 7 of the 5498 for the year in which the contribution is received.

How are different IRA custodians reflecting those on participant statements? Which custodians reflect those as prior year and which reflect as current year (or no year indicated)?

I'd like to hear from anyone using this link what your experience has been with their service. I'm just curious to see how well they are handling the daily trading. I'd especially like to hear about those of you linked with them that are using Quantech.

------------------

Carol J. Ringwald

Senior Vice President

Shawmut Consulting Assoc.

I have a situation were an IRA holder had died and the 2 beneficiaries are Charitable Remainder Trusts set up for his two sons.

The IRA holder was over 70 1/2 and already had taken his 2000 RMD. When the IRA is distributed, does the money have to be distributed to the Trusts directly and are the Trust issued a 1099R Tax form with their respective TIN numbers? Or does the money go to the beneficiaries of the Trust and the individuals are issued 1099 R's. Any help is greatly appreciated.

Sincerely, AJ Milano

How does the IRS collect the 10% excise tax for missing this deadline? Is it a flat 10% on the amount, or does it increase the longer you are late?

We have a client with a very similar situation as that described in a 1993 PLR and would like to contact the applicant. Is there a way to find out the identity?

The employer has a 401(k) safe harbor plan. The employer makes a discretionary profit sharing contribution allocated using an integrated formula. Question is this: Can the employer take the 3% safe harbor from the integrated discretionary contribution, as long as each participant is getting at least 3% or does the employer make a separate 3% contribution outside of the integrated allocation? My concern is that the total contribution (3% and integrated discretionary) would not have been allocated in accordance with the plan's integrated formula.

Am I correct in my understanding that a corrective distribution of employee salary deferrals to correct a 415 excess is not subject to the 10% excise tax? Need to confirm before the 15-month deadline for filing Form 5330 expires 03/31/00.

Thanks to any and all for your response!

Are any of you heading to the EA Meetings? Thought it may be nice to put some faces with the names. Any interest?

I have 3 IRA accounts one of which is a Roth. I now need income from this account, I have heard about taking a life expectancy draw by dividing the total IRA amount by my life expectancy age. I have approx. 1,000,000. in the combined accounts. If I start to take money from only one acct. can I include the value of all accounts? Will the fact that I'm more than 5 years away from 59 1/2 have any effect on what I can withdraw without penality? This money is invested in the stock market so needless to say the amount does fluctuate, is there a certain date that is used to value these accounts?

If you know the monthly benefits under the contract (if not the insurance company can provid) and the age of the individuals intitled to benefits any actuary or good life agent can calculate a value.

Can a parnter's estate make an election for a full $30,000 contribution (assuming enough income) on income earned prior the partner's death to a Keogh Plan?

Can a privately-held company complete a cash-less exercise of stock options (completely cash-less, that is a same-day-sale" exercise where the employee who does not own any shares currently exercises the option then sells enough shares to pay for the entire exercise plus withholding) without using a broker and without violating securities laws? Can privately-held companies do cash-less exercises?