An individual is a 100% owner of a corporation. He retired a year ago when he was 55 and stopped earning income through the corporation. The corporation still exists so that he can retain some group insurance benefits. The corporation maintains a profit sharing plan in which he and 1 other person have account balances.

The question is; If the corporation now terminates the profit sharing plan, can he take some of his account balance out as taxable income without incurring the 10% penalty since he "terminated employment" when he was 55. The remaining amount of his account balance will be rolled to an IRA.

Plan sponsor is real estate management firm. Plan buys property from unrelated party and plan sponsor is to manage the property. Can the plan enter into contract with plan sponsor to manage the property? Something doesn't seem right.

We have acquired a company and plan to bring them on our p/r and benefits 7/1/99. They have a 125 cafeteria (unreimb med) under old employer. What are our options for bringing them to our plan mid-year? I want to provide the best option for our new employees.

I am looking for suggests, names, phone numbers of providers of retirement packages. I work for an association and am trying to set up a retirement package for our members. We have 5500 members located throughout the country. Our members are all small attorney firms of between two and ten employees. Any suggestions?

Can anyone provide a citation which indicates that loans are permitted from a 403(B)(7) arrangement? I understand that the IRS has ruled privately on this issue, but do not have a PLR cite. Thanks

I am interested in putting our company group medical plan out for bids. Can anyone provide me with information concerning research reports with respect to customer satisfaction and health care providers? Perhaps there is a web site or research group that deals with this type of information.

That's what I was hoping - one 5500 and one set of testing. And yes, the plan sponsor has changed. So I would put the new plan sponsor's EIN, etc. of page 1 of 5500, is that correct? Thanks.

I'm working on final short year 5500 filings for several plans that were merged due to a corporate acquisition. What data should I use for Line 21 completion? All plans are calendar year. For mergers that took place right after year-end (i.e. in January), is is safe to use the 1997 5500 data? Or should this info be shown as zero since there are no longer participants in the plans? Or should I get employee counts for the short period from the employers?

What steps are needed to change the plan year for various welfare plans (health, life, LTD). Can you file a long year 5500?

if one wants to determine the social security portion of a plan benefit or compute soc. security directly what options are available? Assuming one does not have predesigned software.

if a lump sum is paid out, but is under paid by say $ 10,000, what interest rate would you use to bring the underpaid portion forward with interest?

when using the GATT mortality table does it mean you must use 50%/50% blended rates? If so, where do you obtain such a table?

if a plan fails 401(l) - does it have to be amended in order to remain qualified?

We have had inquiries from our participants on adding a self-directed brokerage option to our menu of mutual funds in our 401(k) program. Does anyone have names of companies which offer this feature in their program/product, and also any experiences they can share with us.

Is a complete restatement of a 403(b)plan required when amending the plan for GUST, or will an amendment be permissible?

If an existing profit sharing plan or 401(k) amends to SIMPLE 401(k), can vesting be retained for the pre-amendment discretionary and/or matching contributions?

Corp. owned by 2 brothers 50/50. Their brother works for the business, is not an officer, owns no stock, earns about $50,000. Is the brother an HCE?

If a Participant takes a required minimum distribution, does this taint the remainder amount preventing a Lump Sum Distribution of the remaining balance later?

I'm looking for some feedback on downloading trade information to produce qtrly reports from for example, Nationwide, Aetna, etc.

A not-for-profit hospital is concerned that its group of ten annuity issuers may not be correctly computing the maximum contributions that employees may defer into their tax-deferred annuities. However, before the hospital spends much money to investigate the problem, we wanted to identify the hospital's liability.

We're familiar with IRS audit activities, but what is the employer's possible exposure? IRC 6672 potentially exposes the employer to penalties for failure to withhold on overmax contributions, but only if the hospital was willfully failing to withhold taxes, which seems very difficult for the IRS to prove.

Is there any other basis for liability? Is anyone familiar with a case where the IRS has actually imposed monetary penalties on the employer for overmax contributions to a non-ERISA 403(B)?