This Bill was introduced on March 16, 1999 by Senator Roth.

Highlights:

* Increases annual IRA contribution limit from 2k to 5k.

* Eliminates income limits on IRA contributions.

* Raises the income limit for converting traditional IRAs to Roth from

100k to $1M.

* Increases the annual limit on 401(k) contributions from 10k to 15k.

* Establishes a new "Roth" 401(k) plan which allows you to contribute after-

tax dollars to your 401(k). Withdrawals at retirement will (should) be tax-free.

I urge everyone to write their US Senators and request their support on this. It is a beautiful piece of legislation.

To get the email addresses of your Senators, go to this site and enter your zip code:

http://www.congress.org/search.html

Additional information on the bill:

http://thomas.loc.gov/cgi-bin/bdquery/z?d106:s.00646:

Here is a sample letter for reference.

-Richard

================================

Dear Senator .......,

I am writing to encourage you to support Senate Bill S.646 to "amend the Internal Revenue Code of 1986 to provide increased retirement savings opportunities". This bill was introduced by Senator Roth on March 16, 1999.

I'm sure you are aware that the IRA contribution limit has not been raised

from it's present level of $2000 in nearly 20 years. Senator Roth's bill

will adjust the limit to account for cost of living increases. Additionally, this bill eliminates the ridiculous income limits on Roth IRA contributions as well as increasing the income limits for converting traditional IRAs to Roth IRAs. The limits currently in place are creating tremendous headaches for your middle-income constituents.

I hope that you will lend your full support to S.646.

Regards,

.........

Has anyone set up or heard anything regarding pension plans for volunteer fire fighters? There is no salary, and the township wants to contribute an annual discretionary amount without paying taxes on it. This is new to me. Any ideas?

Can a distrbution from a 403(B) plan be rolled into a 401(k) plan? I don't think so, but can't locate authority. Thanks.

I opened a Roth in early '98, subsequently my income increased, based on one time occurrences, so that it is now beyond the permissible limits. Must I reverse the Roth now into a regular IRA or can I keep the Roth and simply pay a tax?

Is it legal to use a Roth IRA to sell covered calls or puts? Most of the brokerages i've seen require a margin account to handle these transactions, so i guess the question is can a Roth IRA account be a margin account?

My company pays for 100% of the monthly health premium for spouse and dependents. Spouses are opting out of their plans and enrolling in our plan at a high frequency. We have always been "employee friendly" and very proud that we paid 100% of the premium for the employees. However, now with so many companies offering opt outs and more employees have working spouses, we feel that we are being taken advantage. One thought was that we pay for the spouse's premium at their company or provide a "set" allowance for all spouses in which to pay their own premium. Any comments on these alternatives or any other alternatives? Thanks.

Can an officer start to flex health insurance during the middle of the year, if he hadn't completed a form prior to the beginning of the year? The company paid for the officer's health insurance previously but is not going to be paying it anymore.

We are interested in offering our employees the opportunity to exchange sick time for health club membership fees. Currently, one day a month of sick time is earned by all employees. Does anyone offer such a program or anything close? Are there taxable income concerns? Would we as a public power joint-action agency be subject to public criticism? Any comments would be greatly appreciated.

In determining the taxable amount for stocks in a Roth IRA conversion, do you use the stock's closing price on the day of the conversion or the average of the high and the low price for that day? If either is acceptable, can I choose the method or is it up to my IRA custodian?

What government agency oversees 401k

plans?

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

roger pires

We have had a difficult time with our record keeper in allocating earnings and/or losses to an alternate payee's account between the date of division, e.g., date of divorce or date of separation, and the date on which the alternate payee's account is established. [it is not uncommon that the court will enter the purported QDRO several years after the date of division.]

The record keeper has indicated that few of their clients allow such allocation of earnings and/or losses and reject domestic relations orders that require such allocation. The record keepr would like us to reject domestic relations orders that require allocation of losses and earnings.

Does your plan allow the allocation of earnings and/or losses between the date of division and the date of allocation to the alternate payee? Or does your plan reject domestic relations order that require the allocation of losses and/or earnings?

Our record keeper has informed us that they cannot allocate earnings and losses from the date of division, e.g. date of divorce or date of separation, to the date of allocation. They indicate that few plans will allow this, but require that no earnings or losses be allocated. Does your plan allocate earnings or losses? or do you not accept dro's which allocate earnings and losses?

Do companies who are not yet profitable (but close) offer a 401(k) match as a competitive recruiting tool in small high tech companies?

Can an insurer terminate an employee's health insurance if the employee lied about prior medical conditions on the initial application? Does HIPAA prevent this?

For those interested, there is an NSCC link available through Vertical Management Systems, located in CA. Send me an e-mail and I can give you more details.

Does any one have any suggestion to transfer education IRA into any special

account other than UGMA? I have excess the education IRA limit. I already invested $500 in education IRA. I need

to remove excess amount from mutual fund.

Could someone please provide me with the name and phone number (and E-mail if available) of the contact person for the User's Group which meets in the Indianapolis, IN area? Thanks!

Does anyone have any comments or opinions on the IRA article in the 3/18 Wall Street Journal (front page section C)?

We have come across a situation where a participant/shareholder has named his company as beneficiary of his MP/PS benefits. There is no QJ&S issue and my question is does anyone feel this prohibited by Erisa.

Any thoughts would be appreciated

ok. Thanks for clearing that up for me. So to add to my original question, can the distribution be made to a conduit IRA, and then be moved into the living trust as a sub-account, so as not to commingle the assets??? I guess what I'm getting at is can the IRA continue on, status quo, as an 'asset' of the living trust?