An individual is employed by a governmental agency. The individual participates in a PERS deferral plan as well as a Section 457 plan as a government employee. The individual also has a separate business which he operates and participates in a Simple Plan. Question: What Annual Addition Limits (if any) apply to this individuals participation in the three (3) plans?

Every one knows that Minimum Distributions are not Eligible Rollover Distributions, and therefore, are not subject to 20% withholding.

However, minimum distributions ARE subject to withholding. My questions is this: are Minimum Distributions "Periodic" or "Non-Periodic" distibutions? The answer affects the manner in which withholding is calculated.

I believe that minimum distributions are periodic distributions, even when they are paid out of individual account plans. This is because the distributions are calculated on the basis of life expectency, and paid over life. The fact that a participant could elect to accelerate distributions in the future should not impact their classification in the current year.

I seem to recall that, before the days of "Eligible Rollover Distributions" (i.e., before the UCA took effect in the early 90's), we treated minimum distributions as non-periodic. However, the regs defining Eligible Rollover distributions now make a compelling case that minimum distributions are "Periodic."

Has anyone seen official guidance on this question? Should minimum distributions always have been subject to withholding as periodic distributions, or has there been a change over the years (officially recognized or not)?

Is an executor fee, which is reported on a 1099-MISC and not subject to SE tax, considered compensation for purposes of determining deductible IRA contributions?

I recently lost a part time job which I relied on to supplement my income. This was sudden and unexpected. Due to this loss I have found myself deep in debt just from living expenses. I applied for an emergency withdrawal from my 457 account. Instead of making a decision my employer sent the application into the plan administrator to ask their opinion and they stated that it wasnt an emergency and that the employer could still authorize it but would be subject to an audit and plan cancellation. My employer then denied my request. Any ideas on how to appeal this decision?

I understand the IRS has given the green light for employers to add automatic enrollment features to 401(k) plans. Specifically, an employer designates a percentage of pay that will be set aside in the plan and employees wanting anything other than the default arrangement must submit a request to the employer. Does anyone have wording that is in a working plan? Additionally, I am in Utah, which requires employee written permission for such deductions.

A while back, ndt123 asked:

It appears that the notice requires the match to be calculated on annual contributions and annual compensation. For plans that match on pay period by pay period basis, this would require a "true up" match at the close of the year.

Any thoughts?

I didn't see any responses. Does anyone have any comments? Do you have to top-up all employees or just NHCEs? What about if a participant front-loads deferrals?

I am currently using Quicken to administer the cafeteria plans my company handles. I would like to switch to using Quickbooks as of the first of the year but I have no idea exactly how to track them. Any ideas on how to do this or anyone using Quickbooks now?

Does anyone know of a readable document that accurately summarizes the various remedial amendment period deadlines (TRA'86, GATT/USERRA/SBJPA, and TRA'97) for amending plan documents for nongovernmental 403(B) plans?

There was an article in the CCH Pension Plan Guide, No. 1239 dated 11/2/98, that paraphrased an attorney's verbal comments, but it didn't seem to pick up the first day of the 1998 plan year requirement for GATT/USERRA/SBJPA from IRS Notice 97-41, unless (unknown to me) the IRS extended that deadline. While, we're on the topic, if anyone knows why the IRS thought 403(B) plans should be subject to an earlier deadline than 401(a) plans, please speak up.

Thanks in advance for any help you can offer.

I am curious about on line transactions for enrollment forms etc on a web site (either provided by a broker or consultant or by a health plan carrier) I have heard nightmares re online bill reconciliation and consolidated billings. Any experiences pro or con? Thanks.

Is it possible for COBRA premiums for a qualifed beneficiary to be paid for through the premium coversion portion of the cafeteria plan. For example: Employee is paying the COBRA premiums for is ex-wife or employee paying COBRA premiums for aged out dependent.

I thought I had read that this would be allowable under a new regulation beginning next year????

I have had an inquiry from a colleague in Japan who is a member of the equivalent of our FASB. He is eager to learn about the accounting methods and disclosures for "cash balance" plans. It is unclear to me whether they should be accounted for as defined contribution or defined benefit plans. Any advice would be appreciated.

I have been given a new assignment and I need some help on where to start. The company I work for has never done benefit planning and they want me to develop a project schedule that will lay out the planning process to take place over the next few months. Has anyone out there gone through this process, and if so, what key areas are best to concentrate on and what should be avoided. Would greatly appreciate any help anyone can give.

A qualified retirement plan is allowed to pay certain legal and/or administrative fees out of Plan assets. Other types of fees probably should not be paid out of the trust.

Is anyone aware of a good article that discusses how to determine when to pay a fee from the Plan and when not to?

As an example, if an employer hires a consultant to create a benefit formula in an existing qualified plan to maximize benefits to the HCE's (to the detriment of the NHCE's)and then hires an attorney to amend the plan for the new benefit formula, I generally believe that the employer, not the Plan, should pay such fees because they were beyond "normal" administrative practice.

Conversely, when the consultant charges the plan to prepare the annual 5500, it is probably appropriate for the Plan to pay the consultant's fees as the 5500 filing is necessary to the administration of the plan.

Work at at computer software firm of about 120 people. Interested to know what other companies provide in their tuition reimbursment programs to employees. How and how much do you cover?

I am currently a Human Resources Coordinator for a computer consulting firm with about 120 employees and almost 3 years old. We are coming up on the completion of our 1 year with a 401k plan and do not match. I am looking for info about other companies and what they do in terms of matching (percentages and such), and what your plans provide. Any information would be much appreciated. We are hoping to start matching at the first of the year.

Thanks.

401(k) Plan has employee deferrals and match contributed. In calculating the maximum employer contribution for the 15% limit, I am using taxable wages of eligible participants excluding 401(k) deferrals and cafeteria plan deferrals; also excluding any participant's wages if not employed on the last day of the year; also excluding any participants wages above the $160,000 limit. I multiply this figure by 15%, then subtract the elective deferrals and employer match which then gives me the net profit sharing contribution allowable for the employer's fiscal year.

Is this correct?

Need help determining the treatment of 402(g) violations not returned by April 15th.

My office has been struggling with what health benefits,if any, we are legally required to offer to our part-time employees (we have one 20 hr./wk. employee and one 30 hr./wk. employee). We pay the full health insurance premium for our full-time employees (40 hr./wk.) but have not offered any health insurance to our part-time employees. I have searched ERISA, the IRS Code,etc. and cannot seem to find guidance with regard to this issue. I would appreciate any input you might have.

It seems that there is very little technical information out there on SEPs. Does anyone know of a comprehensive text or resource that can be used for SEP research? I've seen the BNA Portfolio on SEPs, IRS publication, limited exam guidelines, but nothing that gets very detailed.

Company A is considering purchasing substantially all of the assets of Company B. Company B is currently involved in liquidation proceedings under the bankruptcy laws. Following the asset purchase, Company A will terminate 10% of the employees formerly employed by Company B. Does Company A have any successor liability with respect to providing these individuals with COBRA coverage. Any thoughts? Thanks. Ed