austin3515

Can I merge these two plans together? Any chance? Perhaps a non-elective transfer? Let me know.

Document provider says it's definitely ok under the law, document not very specific, but he thinks it would be ok. So I'm doing it!

I have client that does 8% of pay every year. They only need to give 5% to the staff to max out the owners at the full $50,000. We're failing the ADP test, and a 3% QNEC allocated pro rata substantially reduces the refunds to the owners. Add in a couple of the lowest paid people with a bottom up QNEC and, hey we're passing. Any issues with using both allocation methods in one year? We use the Corbel Prototype 401k.

I have a client who wants an update on the status of this. Has the IRS said when this will be available?

The election as it turns out is revocable - so someone can change their mind and become a benefits employee. We're talking CODA, correct?

HEre's an interesting twist - come to find out that for some employees, they have the option of being classified as non-benefits employees. They will get an increased paycheck if they make that election. It's not based on hours at all. My concern now is that this could be considered a CODA, which would be very very strange inside a 403b plan... Any thoughts?

Yeah, that works for me! Thanks!!

Participant is redoing her home basement so her monther can move in. One of the largest expenses is retrofitting the bathroom to make it handicap accessible. Is there any way to call this a medical expense not covered by insurance? Or would these types of renovations and/or medical equipment be ineligible altogether? LOVE the new web-site!

So are you saying "yes, Austin, you are correct."

PArticipant in a defined benefit pension plan retires in 2012 and is 73 years old. The Plan allows for lump-sum distributions and that is what has been elected. Is a portion of the lump sum ineligible for rollover because of the RMD rules? If so, does the actuary need to calculate the RMD based on his 12/31/2011 accrued benefit? That's how it would work on the 401k side, but I don't do a lot with the DB plans... I was surprised that the actuary wasn't sure, so I thought I would ask you guys!

I've spoken to two ERISA attorneys and y'all and we all agree that this cannot be done. Now, if you define non-benefits employees by same means other than hours worked (such as position) it would be ok... I also got a very good suggestion, which is non-benefits employees are exlcuded, except that statutory eligiblity applies as a fall back (in my case, eligibililty is just 6 months).

It doesn't seem like that is being requested. I have seen a few of these myself, and they just say "non-benefits employees."

But people are using this exclusion - so how are people defininng non-benefits eligible employees? Isn't an obvious objective to limit full benefits to full-time employees (i.e., ee's w/ more than 30 horus a week)?

Also, isn't it likely that this classification is based on the numnber of hours that someone works? So for example, your excluded if your non-benefits, and your non-benefits if you work less than 30 hours a week - problem, correct?

Can anyone shed some light or provide a link with more info on excluding non-benefits employees? Can the exclusion be that simple, provided the employer actually has that "type" of employee and uses it for all of their benefits. I just wanted to make sure there wasn't something more complicated about that exclusion then say "hourly employees." I know about coverage

Does he currently have another business with employees? Or is he just going out on his own now?

Also, the 8554-EP says my reporting cycle begins April 1, 2014. I assume when I file that 8554-EP, I report my CPE for CALENDAR 2011 and CALENDAR 2012? Right? What is the significance of April 1??

For the last two years, due to ERPA, I have been buying two webinars from ASPPA (primary and secondary) for myself and the other ERPA in the office. Is this necessary? I just looked at the 8554-EP and it seems that all they want to know is the number of total credits and the total of ethics credits in each reporting year. Do I need a certificate in my own name, or, provided I don't lie (which I do not), is it enough to keep my own listing and support for the CPE I take? For example, if we pay for one web-inar, and listen together, can we both claim the CPE on the 8554? The instructions do not seem to stipulate any such requirement. I found this in Circular 230 as part of the recordkeeping requirements, perhaps this is why it is required: "The certificate of completion and/or signed statement of the hours of attendance obtained from the continuing education provider."

I did think about it

I know an eleciton is required before the last day of the plan year, but instead of chasing these guys down every year, can I just have an evergreen election to defer the max allowed every single year?

Medical Practice owned 100% by A. A is also the director of a non-profit that sponsors a 403b plan. Is there ever a possibility that there could be a controlled group if there is at least one other director?

Plan is leaving an MEP Plan. Can the new plan include a provision that says "If you were deferring 5% in the old plan, that election will be honored in the new plan"? Similarly, can you include a provision that says "you're balances in the old plan will be trasferred to the new plan and be mapped to like funds?

1.403(b)-6(i) (i) Certain limitations do not apply to rollover contributions. The limitations on distributions in paragraphs (b) through (d) of this section do not apply to amounts held in a separate account for eligible rollover distributions as described in § 1.403(b)-1 0(d).

From Sungard's 403b (part of the basic plan document, there is no mention of ISD's for rollovers in the AA): (5) Rollover Contributions; Employee Contributions. A Participant may elect to receive an in-service distribution of his/her Accounts attributable to Rollover Contributions and Employee Contributions subject to Sections 6.01(D)(2) and (3), except as the Employer provides otherwise in an Addendum. Distribution of a Rollover Contribution or Employee Contribution is subject to Section 6.04 if Section 6.04 otherwise applies to the Participant. 6.04 ANNUITY DISTRIBUTIONS TO PARTICIPANTS AND TO SURVIVING SPOUSES. Which doesn't apply to this conversaiotn.

Elective deferrals in 403b plan, with match in a 401a plan. Is there anyway to do this w/ Sungard? We have the 403b prototype and the 401k prototype, but I can't come up with a darn thing on coordinating the two. It seems to be a complete and total overhaul if I even try.