I'm interested in any information you have on health plan vebas structured as individual accounts (similar to group health savings accounts)

i have a tsa mutual fund that i no longer make contributions to. i would like to move it into 2 other funds that do offer 403b(7) accounts but neither fund is listed as available through my current employer. does this move comply with the law if i make a fund to fund transfer?

Law Firm has age-based plan. All attorneys except the eldest opted out to keep it efficient. Now, they want a 401(k) plan for all employees. I think the age-based plan will be deemed a CODA if we allow the other attorneys to participate.

Also, they were a partnership when the elections were made, but an LLP now. More reason to disallow participation or irrelevant?

Thoughts anyone?

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BB

An article describing the income tax, FICA tax, and withholding consequences of early retirement incentives and failed section 457 plans maintained by governmental employers is now online. Just click on the link above to go to it.

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Employee benefits legal resource site

Is it permissible to have IRA account holders make contribution checks out directly to their existing IRA accounts in the underlying mutual fund or annuity contract and thus bypass the trustee of the IRA?

Seeking comments on the pros/cons of using a combined SPD/Plan document, for a self-funded arrangement that encompasses group health, dental and flex benefits. Also, any insights on how to document the employer's transition to combined document from current situation, in which plan document is maintained separately from SPD.

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Greetings:

I would like to have feedback from all

the posters of this board regarding the following

problem:

A client of ours (who works on

branch of a multinational corporation; that said

branch located in Puerto Rico ) is reporting

that his employer demands from its employees

to report themselves to the SSA and be represented by

council provided by the employer if the want to

request LTD benefits.

QUESTION: Does ERISA or the SS Act allows

private employers to establish different work-related

benefit request requirements based on the fact that

one of its branch is located on a US

territory?

(I know, tall order!)

Feedback will be appreciated.

Thanks.

Juan Barrios

Hernandez & Associates

Attorneys At Law

Bayamon, Puerto Rico

An employer sponsors a premium-only health insurance plan. It currently pays the same portion of the premium for all employees. Can it pay different percentages of the premium for different classes of employees (like it could without a 125 plan) without the plan being discriminatory?

Is there a procedure for making a "John Doe" submission under either VCR or Walk-in CAP? In other words, is there any way to communicate with the IRS on an anonymous basis to find out how the IRS would require you to correct a plan defect, so that you can then make a more informed decision whether or not to go into the program?

We want to encourage our employees to take advantage of the health screenings in our Wellness Program. Even though we pay them a certain dollar amount to take the exam and a discount on their insurance premium if they pass, we still have low participation. Is it legal to make them take the screening before they can enroll in the plan and then once a year to stay in the plan? We obviously don't get the results by name and their enrollment wouldn't be based on whether or not they passed, just whether or not they took the test. If that isn't an option, what other suggestions are there to increase participation?

Thanks, Karen

Does anyone have a good system for the annual performance reviews for employees? We ask our employees to complete a "self review", but we would like to get much more detailed. Do most small firms develop the review forms themselves (as we did), or are there any good products that may be worth looking into. We often struggle with the employee review process.

Thank you.

We are having a raging debate here as to whether or not the elimination of the family aggregate applies to SARSEPS. Some say yes, others that SARSEPS are "grandfathered" and the new rule does not apply. Please settle this for us!

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MEG

I'm sorry everyone. There was a thread concerning 403(B) rollovers. It was updated as recetnly as today. It was appearing in duplicate. When I attempted to erase one of them, they both disappeared. So much for housekeeping!

As I recall, the discussion was complete. Repsonses indicated that 403(B) distribs cannot be rolled over into a 401(k). SOmeone also pointed out that pending legislation would allow it.

If I omitted anything relevant, please post a message here.

Is a safe harbor 401(k) plan considered a comparable plan with a profit sharing plan.

Client wishes to terminate existing profit sharing plan and distribute funds to participants due to segregated assets and the associated cost of administration. Client also wishes to establish a safe harbor 401(k) plan.

My understanding is that a comparable plan is covered by the same limitations on deductions as the original plan.

What are the tax implication if you wish to recharacterize a Roth conversion IRA back to a traditional IRA after year 1 if you elected to spread your tax liability over 4 years? First, can this election be revoked? Second, can you file an amended return for year 1 to recapture the taxes paid on the first 25% of the conversion. Third, if no recapture of year 1 tax is available, what is the tax status on that 25% of the Roth soon to be IRA funds, can they be withdrown tax free in the future?

The teachers of the City of New York are offered only one 403(B) carrier. This carrier offers only 2 investment options: a fixed interest rate and a general equities fund. One may change investment contributions every 90 days.

Accumulations may be exchanged no more rapidly than 1/12 of the account balance over 12 months.

I want to commence a class action to force this employer to offer more investment choices and a flexible exchange program. Please e mail names of attorneys.

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A strange question was posed to me. Here are the facts:

Decedent prior to death received a distribution from an IRA. Decedent stated intention to "roll over" the amount to a new IRA. The decedent completed all forms for rollover (including beneficiary papers)and was about to fund new IRA when he died unexpectedly. He died prior to the completion of the 60 day period. Can the estate fund the new IRA based on the intent if done prior to completion of the 60 days?

I need a colleague who has been through the wringer on a proxy solicitation to provide me with some rough solicitation documents for a Trustee to solicit voting instructions on a fundamental corporate transaction-merger.

Any help would be appreciated.

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Michael D. Hughes

412-392-5590

Company would like to have the plan pay the cost of a vendor search (being done by an outside consultant). Is that permissable?

Also, does company have any flexibility to spread the recognition of the expense over a period of time rather than take the entire hit at the point in time when the bill arrives?

A Participant receives a hardship distribution in mid-1998. The employer fails to suspend the participant's deferrals. The error is discovered in 1999. What would the appropriate correction method be and how would it be reported to the participant. Additionally, the 1998 deferrals had match credited for 12/31/98.