I believe that life expectancy pretty much has to be determined by tables V & VI. Notice 89-25 gives some lattitude in mortality tables if using the annuity factor method, but the real difference in the amount of the annuity comes from varying interest rate assumptions.

According to a notation in Tax Facts, the tables are entered with the age of the annuitant at their birthday nearest the annuity starting date. No interpolation is necessary (with the dread exception of determining a non-spouse's life expectancy when using joint lives).

Hope this is of some help.

Is it possible for the Broker of Record for a 401(k) plan to also be a participant? Does this not conflict with their fiduciary responsibilities?

More information:

Broker has written consent from the board, but any materials sent to the participants, the Brokers name is left out. Does the name of the Broker have to be disclosed to the participants?

What is the responsibility of the Investment Company that knows about the situation? From what I hear, they asked for a written statement from the Trustees for the Broker of Record, but could they be held liable??

If I am not clear, please ask!!

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Respectfully,

Jeramy P. Lembeck

Question on what to enter on line 6 of Form 8606 (value of ALL Traditional IRA's).

I converted part of my Trad IRA to a Roth IRA. However, on 3/4/99 I contributed $2000 to a Trad IRA (a 1 yr Cert of Deposit at my bank).

Just got a statement from my bank saying:

current balance = 2000.00

accrued interest = 80.00

yr to date interest = -0-

fair mkt value on 12/31/99 = 2080.00

CD says "interest added at maturity", also says "interest calculated 365/365".

So what do I enter on line 6 Form 8606? (value of ALL Trad IRS's) Is this "accrued interest" included in the value if not paid until maturity?

When prescription drugs are requested to be reimbursed through a flexible spending account, can any state tax which has been applied to the cost be reimbursed?

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I'm evaluating an offer of employment. The new employer insurance premiums are MUCH higher (smaller company) - Can I remain with my prior company's (very large employer) plan under COBRA? Are there any time limits or time restrictions? Can I remain as long as I want, as long as I keep paying? Thank you.

I found at one time, but now can not locate, a company that for a fee to a company, would offer employees of the company discounted programs via their web site. Is anyone familiar with this company and their services?

Does anyone know where to download 1999 Form 5500's and Schedules? The DOL site I found only provides a proof with instructions not to use.

51 year old retired from company. Received distribution from qualified pension plan, rolled into established IRA. Started substantially equal periodic payment schedule using the amortization method of early distributions from an IRA.

3-5 months later, 51 year old was asked to come back to company to work on special projects and has resumed a full-time position.

Does his re-hire at same company impair his early distribution exception using the substantially equal periodic payment schedule, thereby subjecting him to the 10% early distribution penalty?

Are retroactive payments made back to the Required Beginning Date under a defined contribution plan fully taxable in the year paid or the year they should have been paid?

In a defined contribution plan, for a participant after 70-1/2, does the minimum distribution amount get paid and deducted from the account balance before forwarding the balance to purchase an annuity?

Under state law, participation in group insurance by a state employee "shall be entirely voluntary at all times." Furthermore, "any employee may, upon any payday, withdraw from [the plan] upon giving the employer written notice and directing the discontinuance of deductions from wages."

How does this fit with the irrevocable election requirement of Section 125? Which controls -- state or federal law? Thanks for any assistance.

A client of mine has had a small claims judgement issued in his favor against an employee who embezzled funds from him.

Two questions:

Is the employer allowed to use the former employees vested profit sharing balance to satisfy this judgement?

If so, is he required to "withhold" 20% federal taxes before "distributing" the account to the Company to satisfy the debt?

Thanks....

Is there an existing pattern in the way denominational pensions handle military chaplains:

a) Before they have 20 years of service

b) After the guaranteed military pension is in place?

Do most military chaplains particpate in Social Security while on active duty?

Can military chaplains particpate in FERS or an equivalent program?

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Mike W.

Any experience with the effect of an insurance company's demutualization process on a defined benefit plan and welfare plans? Compensation is coming to pension and welfare plans from the demutualization process. Insurance company wants company to elect compensation solely in either cash or stock. Company wants a combination of both. Any other issues?

Are there any issues (same desk rule, etc..) when a company is sold and there is an existing Profit Sharing plan that the old owner would like to Terminate?

For a short first plan year, what period of compensation is used to determine the 3% non elective contribution?

A client is terminating their plan. The forfeitures are used to reduce current and future employer contributions. If the forfeitures at 12/31/99 exceed the employer contribution necessary for 1999, what happens to the remaining forfeitures? Do they go back to the employer or what?

I opened a Roth IRA for 1999

and deposited $2000.

Now the account value is almost $0.

Is there anyway I can close this

account and deduct a $2000

loss for my tax return for year 1999?

Thanks for any help.

-Richard Sun

xsun@lucent.com

We have not had much experience with governmental plans and wish to find a quick answer to question posed above. Thanks.

Because there were 27 bi-weekly pay periods for a client of mine in 1999, a person who wanted $5,000 withheld for dependent care expenses has a W-2 that shows $5,192 withheld?

What is the procedure for refunding and reporting the excess withholding? Any answers would be appreciated.

Thanks!