After 5 yrs.my ex wire has filed for a qudro.My final judgement papers read as follows.Respondents Pension/Retirement,stock and 401k plan thru his employment with his job,worth approx 10,000.00shallbe equally divided between parties. the parties shallmake the division through a Qudro and shall cooperate with the signing of all forms needed to complete this agreement.I refused to sign the Qudro because it has 50% 0f my retirement 50% of my 401k but it states in the final judgement half of 10,000,00 dollarsnow she has supenaed me back to court

. So who is rite here Me the me The Particpant or Her the Alternate Payee. I have given her all of the info. that was needed to complete thisthru my job they Froze my account and devided the pension.Also she sent a blank copy with no judges signiture on it and no seal they asked her for a signed copy and she has not sent it to them.

Plan provides for a 100% of the 1st 5% contributed match into the "Matching Retirement Plan". Deferrals up to 5% and the 5% match go to the Matching Retirement Plan. Deferrals above and beyond 5% go to the TDA Plan (i.e., the "supplemental plan").

Eligibility for everything is immediate.

We're trying to determine whether or not those contributing less than 5% are eligible for the TDA Plan. My opinion is that (and piggy backing off of the DOL's definition of a participant) that anyone eligible to defer more than 5% is a participant. But perhaps there is room to argue that only those actually contributing more than 5% are eligible for the TDA because that plan is only for those contributing more than 5%.

We're trying to determine whether or not the TDA plan has an audit requirement (for the past several years ).

A sole proprietor does business from 1/1/2007 to 12/31/2010. He then forms a corporation on 1/1/11 and also hires an employee on that date.

On 1/1/2013 the corporation adopts a SEP that requires 3 years to be eligible. Can the business owner be eligible for the SEP by counting years with his sole proprietorship?

Thanks.

Is anyone aware of an affirmative duty by an IRA trustee/custodian to investigate prohibited transactions it believes may exist? I ask in the context of self-directed IRA trustee who specializes in exotic assets.

Plan moves from RK A to Best TPA. In connection therewith the plan documents are "required" (if the word is used loosely) to be restated in order to maintain reliance on a favorable opinion letter. Can this expense be paid by the Plan?

I say "yes". Just wanted to see if others agree.

i have a situation were husband and wife were in the same plan. wife quits and the marriage is dissolved. the settlement agreement by the judge basically split their combined interest in the plan 50/50. attorney for the alternate payee(wife) writes qdro to say that alternate payee will get one half of partiicpant's plan interest. I do not think this is correct because she still gets her interest as a participant; hence for her to get 50% of his interest as an alternate payee she would end up with 75%

of their combined interest..In other words giving her something as a alternae payee does cannot cancel what she has as a participant ??

If a participant terminates and the plan allows for terminated participants

to continue their loan repayments, does it matter if the participant takes the balance of their account at a point in time before the loan has been entirely repaid?

company A is purchasing Company B effective 6/1/2014

Company B's 401(k) Plan is to merge into Company A's 401(k) - however Company A sponsors a Safe Harbor Plan and Company B does not

The merger will take place effective 1/1/2015

Question is what do with the deferrals from 6/1 - 12/31/2014 - Company A wants to live the plan as is until the end of 12/31/2014 and then merge the plans 1/1/2015. This will make the transition much easier for all.

1. Is it ok that effective 6/1/2014 the plan is amended to reflect Company A as the sponsor with their EIN and not jeopardize an of the transition rules?

2. Company A wants to amend the plan and state effective 1/1/2014 all participants in the Company B's plan are 100% vested. When the plans are merged there are a number of participants who terminated prior to 1/1/2014 that are partially vested. Any problem with using their non vested portion to offset fees once the forfeiture is triggered. Or do these employees also vest 100% as a result of the amendment.

Thanks

Just ran into a situation where a multiemployer welfare fund is assessing w/l against an employer who is leaving the plan and putting the participants into its own plan. The fund is saying that the employer is bound by the terms of the trust agreement for the fund - which the employer didn't sign or "join" in any way - that establishes a regime for imposing w/l on withdrawing employers who had agreed in their cbas to contribute to the fund. Is there any case law on this?

Assuming you aren't a TPA for any non-U.S. retirement plans, there shouldn't be any concern for a "regular" non-investment institution TPA about FATCA compliance, right?

In regards to a participant obtaining a loan for the purchase of a home, is an email or letter from the participant stating that the loan will be used for a home loan enough documentation. I do not see any IRS language that defines what the documentation has to be. Thanks.

Suppose plan currently uses prior year testing. If they amend the plan this year (2014) to utilize the top 20% election, are those people who will no longer be HCE's due to the election still counted as HCE's for 2014 plan year testing, because they were HCE's for 2013? So that the amendment would have no real effect until you do 2015 plan year testing?

Or, can you count those people as NHC's for 2013, since you are doing "2014" testing?

I'm inclined toward the former...

If for the past 2 years, a client has been making 401(k) deferral contributions on behalf of an employee on leave out of post-tax payments that are not allowed to be used for 401(k). The employee has no other income from the client to make 401(k), and therefore should not have contributed anything.

What is the correction method?

Are there multiple ways to correct?

Do you have to file anything with the IRS or can you self correct?

My experience with excess 401(k) contributions is to refund the money and earnings as ordinary income, but that was for contributions over the $17,500 limit. I am not sure if it is different if all of the 401(k) contributions are disallowed, and if it spans multiple years.

Looking at PPA restatements, I am thinking about my default being to allow rollover-in-kind. Has anyone ever had any problems with this?

Does anyone have a form they would be willing to share: that is for an employee to sign certifying that the money he is rolling into the 401(k) plan comes from an eligible source?

Could a Limited Liability Partnership have w-2 and k-1 comp for the partners that counts as Plan compensation? I was thinking it they were taxed as a corp it would be w-2 and if they were not taxed as a corp it would be k-1.

I am doing ADP/ACP testing on many plans within the same controlled group. All are calendar year, all have current year testing. Most have different rates of matching contributions and employer non-elective contributions. I am testing all excluding those below the statutory eligibility. If I permissively aggregate some plans what other testing do I need to do? For example, I aggregate 2 plans. One plan has some employees receiving a 3% match, and some employees excluded from the match. The other matches 2%. They pass the ratio percentage test with the plans aggregated (as well as on a control group basis). Do I need to do benefit rights and features for the different rates of match? Do I need to do it for any other plan features that may be different?

Thank You

Currently the TPA's plan document legal fees are being paid separately by plan sponsors - with some of these legal fees being paid by the plan (non-elective plan doc work) - so they are disclosed on 408b2, 404a5 disclosures...

If a TPA is looking to provide this service for "free" - how is that handled for 408b2, 404a5 disclosures?

My understanding is that firms cannot 'give away' services - but if there is no fee, how would that be communicated - are others putting "zero" fees into disclosures or would the TPA need to list under services for plan administration (which will maintain a base + per participant charge) the plan document services rolling up there...

No free lunch!

Is anyone aware of a separate RMD table for a 401-k plan that is different from the RMD table for IRA's? Someone is telling me there is a separate table but the IRS website seems to indicate they are the same. Any help is appreciated.

One of the things I wish I had done differently in my career (though I ain't dead yet -- age 55, which means I have quite a ways to go per the IRS life expectancy tables) would have been to establish a relationship with an older man in my field, to whom I could turn for advice on a regular basis... someone to pass along "Here's what I would have done differently..." kinds of tips and guidance.

As I've grown older, I've been surprised at how few younger people understand the benefit of such a relationship. I know I didn't, though I fancy myself to have been a fairly bright young salaryman such that I should have known better.

About a month ago, I said to a personable young employee benefits attorney that I would be happy to hear from him and to pass along information or advice about being a practicing attorney. He sorta smiled, took my card, and hasn't contacted me since. Actually, it's happened twice recently.

Dumb. (Says I, to my younger self.)

Has this been your experience, fellow grey-heads?