Parents pay a "parental fee" into Medical Assistance for their son who is disabled. Can this employee use a FSA to reimburse the monthly parental fee they pay. The fee is based on income and family size and is determined by the state. The parental contribution is based on their ability to pay and is billed monthly. Their monthly statement shows services incurred for that month and dates of service.

What's the limit on the average benefits test for dependent care accounts? Thanks!

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Non-profit organization has a 401(k). There are no HCEs. Is the contribution limited to 25% of comp or 15% of comp? Thanks.

I'm not finding much guidance on this -- can monies from a SIMPLE 401(k) Plan be rolled into a "regular" 401(k) Plan? Here are two scenarios:

1. An employer has a SIMPLE 401(k) plan. As of 12/31, the Employer wishes to "convert" or "merge" the SIMPLE 401(k) plan to a brand new "regular" 401(k) plan. Can the SIMPLE monies go into the "regular" plan? I'm not finding anything that would prohibit this, but nothing that specifically supports it either.

2. An employee participating in a SIMPLE 401(k) plan terminates employment with the employer. Can he/she roll their account into a "regular" 401(k) plan with their new employer?

THANKS.

If an fully insured plan wants to reduce benefits (i.e. no longer cover eye laser surgery), other than HIPAA's requirement to notify within 60 days AFTER the material reduction, does California have any additional laws that may require notice to employees PRIOR to such a reduction?

Suppose that a participant's account balance is less than $5,000 at her termination, but when the balance is to paid out a little later in the year, the value is now over $5,000. Can the account still be paid out without consent?

My question is in regards to saving to buy a house. Is there a way that this can be done with a Roth IRA to save for a down payment? I thought that I read an article that described such an account, similar to saving for college education for your children. I just have not been able to get any further information and any leads will help.

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Thanks - Darcy

We are building an pension administrative system for DROP plan accounts within DB plans. We are curious if anyone has seen exsisting employers using DROP plans with these features.

-Loans

-In-service withdrawls

-Investment election choices

Or any other DC type features applying to DROP accounts.

Thank you,

Garry

Client has a money purchase pension plan with plan year ending 12/31/98. Fiscal year end is september 30th.

Client deposited $10,000 too little for 12/31/98 plan year.

Since this is MPP, the $10,000 must be deposited. But is it late? Are their excise taxes? Do we have any issues here?

Thanks for any input.

Under what conditions can one transfer a variable annuity into a traditional IRA account?

I would suspect this capability is limited given their differences in annual contribution limits.

Company has an existing money purchase and profit sharing plan. They want to establish a 401(k) safe harbor effective 8/1/99.

1. Would the safe harbor be considered a a newly established plan as described in Section X of Notice 98-52?

2. Would it be possible to amend the profit sharing to include the 401k safe harbor effective 8/1/99?

Comments appreciated on how others handle installment payments from PS/401k Plans over period. As account balances change do you adjust installment amounts?

Are retired faculty from an educational institution eligiable for section 125 medical (insurance) reimburesment?

Is there a structure that would provide protection for 457(f) plan assets from the employer's creditors while at the same not removing the substantial risk of forfeiture that must exist for the plan participants to defer current taxation of contributions? And if such structure were available how would it differ in application with governmental entities vs. non-govt. tax-exempt entities?

The IRS recently issued new audit guidelines for 403(B) plans. Although the guidelines have apparently not been picked up by any of the major legal research services, we have been able to obtain a copy, which you can view by clicking here. (Please be patient, though; the guidelines are quite long and take a while to load.)

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Employee benefits legal resource site

The IRS recently issued new audit guidelines for 403(B) plans. Although the guidelines have apparently not been picked up by any of the major legal research services, we have been able to obtain a copy, which you can view by clicking here. (Please be patient, though; the guidelines are quite long and take a while to load.)

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Employee benefits legal resource site

The IRS recently issued new audit guidelines for 403(B) plans. Although the guidelines have apparently not been picked up by any of the major legal research services, we have been able to obtain a copy, which you can view by clicking here. (Please be patient, though; the guidelines are quite long and take a while to load.)

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Employee benefits legal resource site

Ran across a business owner who sponsors a retirement plan covering himself and 5 employees. He has never filed a 5500 and the plan has been operating for 5 years. What should he do to correct situation?

P.S. He would like to terminate plan.

We have an employer who is raising the rx copay on his plan but does not want to change the copay for retirees. The employer wants to set up AND FUND a flexible spending account for the retirees to recoup the copays so they will not (in effect) have the additional copay burden. Can this be done as a traditional flexible spending account? What will have to happen for tax reporting purposes? How shall we correctly apply any pre-tax reductions?

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Are there any limits that would allow an employer to provide credit to certain employeeds for their prior employment, but not to all employees for their prior employment? This is *not* a situation where the employer is a successor in interest to another employer's plan, but a situation where employees from one company have begun to work for another company. the current employer has alreadsy made one exception to its plan to credit former employees of a different company for time served there, and now newly hired employees from another company would like the plan to treat them similarly, but the employer does not want to.