goldtpa

masteff, I did see that article previsously. Its funny because I remember having to do 401k calcs on HCEs to see whether they exceeded the 15% limitation many many moons ago. Now I may have to do it again.

Bipartisan support is building for a deficit reduction plan created by a group of six Senators ("Gang of Six"). President Obama supports it. Some key Senators also support it. In order to address the debt ceiling and the deficit, the Gang of Six want to ""Reform, not eliminate, tax expenditures for health, charitable giving, homeownership, and retirement." According to some reports, 401k plan contribution limit may be lowered to bring in more revenue. Has anyone else heard about this? Are lower limits on the table for 401k plans?

I have a top heavy psp 401k plan with an ee who has waived participation. The plan has 2 owners and 3 nhces. 1 of the nhces has waived. The plan fails the 70% test but passes the avg benefit test. Does the ee who has waived get a top heavy contribution? Thanks.

thanks. That's what I thought.

Co A sets up 401k in 2008. In 2009 Co A buys assets of Co B and hires some of A’s employees. President of Co B owns 10% of Co A. Co B has no NHCEs. For the employees that used to work for Co B, Co A continues to remit ee deferrals and matching to Co B’s SIMPLE-IRA. Co B is still the sponsor of the SIMPLE, even though Co A made the contributions and took the deductions. I am thinking VCP. However I am correct in that both A & B would have to go to VCP? Co A would have to go to VCP since they had both a 401k and a SIMPLE. Co B would also have to go to VCP as their plan received contributions on behalf of Co As employees.

I agree with Andy. It would have been nice to know about this a few weeks ago when I registered for the PTIN and spent the $64.25. It would have been nice to know this before I spent the money to get all of the ERPA study materials to avoid taking an IRS competency test.

I also have a 412i issue. The 412i has excess death benefit and the client never made their annutiy contribution for '09 or '10. They just made their premium payments. I would like to the IRS to treat it as always having been a "regular" db plan, as Mike suggested. Do you go through VCP to voluntarily correct these issues??

Was going to get a PTIN. Then called about taking the ERPA exam to avoid having to take the IRS exam. Was told by the ERPA folks that I might have to take the IRS test as well as the ERPA test. When I asked why, the answer was that if I didnt complete both tests for the ERPA by the time the IRS announces the testing requirement, I may have to take both. Well isnt that special.

A prospect is using a payroll co for the admin of the 401k. HCE contributes $900 in 2009 as 401k contr. No NCHE contributes. No match and No SH match. Same for 2010. The payroll co said that they give leeway for the ADP test up to 2.8%. I spoke to the HCE about the failed adp test and failed top heavy test. HCE calls the payroll co. Their solution is to return all of the money in the account to the HCE. I am wondering whether that would solve the 2009 & 2010 top heavy test?? My gut says no.

I agree. I never thought that when I got into this business I would become a babysister. I am sick and tired of babysitting and asking for the information from jan to oct. 2011 New Years' resolution. If you dont have the info in to me by 9/1, to bad.

Need to file a sched c for a new union client. The 5500 is coded as a 2c for the 2008 5500 They have all types of expenses coming out of their plan. Some of the expenses are -insurance -payroll -rent -telephone -office Do these expenses have to go on the Sched C?? Thanks in advance.

Did a 5500-EZ for a client using FT William. Sent it to the client on 7/2. Client called and said he lost it. I went to re-print the 5500 from FT William and the financial info has vanished. Anyone else having a similar problem??? I called FT William and they were no help.

The 2008 instructions say to mail to EBSA. However since they are not in the 5500-EZ business, I was wondering if you can still send them a 2008 5500-EZ.

Does that apply to the 2008 5500-EZ as well?? I have a 9/30 PYE and I am not sure if it goes to IRS or DOL. Someone at FT Williams told me IRS.

just got off the phone with the IRS. They say that many people who filed EZ's are getting this letter and its an error. They are working on correcting this. IRS rep I spoke with said that that there may be penalty notices that will go out after July 31. They say that if you get a 1393 notice for an EZ you need to keep the first page which shows the stamp as your proof that it was filed. You need to resubmit with letter asking them to accept return as the 5500-ez instructions say to file with IRS and not DOL. IRS rep gave me the impression that if clients dont resubmit, they could get fined.

Just had a client call and state that the 2009 Form 5500 EZ, that was filed using the 2008 Form, was rejected by IRS. IRS sent a letter back that stated that client must use the EFAST2 to file. Anyone else come across this??

Got 1 for a 2004 5500. No previous letters saying that they did not have the 5500, just a penalty letter.

Whay about the security issue of using a public computer at the library? Would the computer remember your ID or PIN? Other people may be able to see the EFAST 2 site with the computers cache. If you haven't "logged off" EFAST 2 your personal information may be accessible to others.

More importantly, stop asking the same question on multiple threads.

ditto

plan passes 401(a)(4) and 410(b), so the answer I guess is yes. Thx.

I have a DB plan that started in 2005. Plan gives benefits to all employees. In 2008 the plan document was changed to give x% to class 1 employees and y% to class 2 employees. However the plan document also says that service prior to 2007 is excluded. Can you just disregard the '05 & '06 service for those employees who were employed during those years.

check out the other posts on this issue late 5500-EZ Late 5500-EZ 2 Late 5500-EZ 3 They all look to have the penalties abated for reasonable cause. Write letters to the IRS and tell them your mother had no idea that she was supposed to file. Plus your dad may not have had to file depending on how mch he had in the plan. If your dad had less than 100,000 through 2006 he did not have to file. In 2007 that number increased to 250,000.

just logged on to ask the very same question. Gotta love the message board.

Just read a summary of the health care bill that states that Sec. 10105 and 10101(d) of the Affordable Care Act involves new nondiscrimination rules for insured plans. Does this mean that all companies that offer health insurance, must follow basically the same nondiscrimination rules for pension plans? Is there an exclusion for small companies under 25 ee's?