Calavera

Where does it say that vesting has to be 100% because she has another qualified plan?

Same in DB. So, pay the proper amount to participant before end of this year. Then: Option 1: VCP - cost $500 + preparation fees - excize tax relief is a part of the filing Option 2: Advise to file Form 5329 together with tax forms including "tear-stained" letter explaining the situation and ask for forgiveness. See instruction for the Form 5329 https://www.irs.gov/pub/irs-pdf/i5329.pdf

Deja vu ... http://www.nytimes.com/2014/07/13/upshot/this-road-work-made-possible-by-underfunding-pensions.html?_r=0

i) and ii) should use Applicable Mortality (that is what AMT probably stands for) iii) should use plan's mortality So if maturity value of 10.2 correspond to the applicable mortality, 415 lump sum is $1,020,000

It still the same 2 years after the later of an adoption date or an effective date. Step 1: later of adoption date or an effective date (12/31/2008 in SoCal's example) Step 2: add 2 years to the date from Step 1 (12/31/2010) Step 3: Ther will be no cushion adjustment at valuation date after the date from Step 2 (1/1/2011)

Good old Pre-PPA days.

If amendment was adopted 3/15/14, you will not use it for cushion purposes until 1/1/17 valuation. BTW, after the Q/A-4 of the 2011 Gray Book a lot of people wouldn't use the amendment adopted 3/15/14 for 1/1/2013 valuation at all.

I don't think you can exclude the unused vacation pay unless you actually amend the definition of compensation. Additionally note that unused vacation pay paid no later than 2 1/2 months after the termination of employment was subjest of Post-EGTRRA "Good Faith" Amendment somewhere in 2009. At that time election could have been maid to include or exclude it for 415 compensation purposes. Not sure if this helps in any way.

So under separate interest DRO participant started receiving his benefits, and AP allowed to defer. I don't see any issues here. The issue would be: how to calculate AP benefits? 1. What is the latest participant's age AP can defer (NRD or RBD)? 2. How does DRO describe the timing of the split (at NRD or at participant's commencement)? 3. Is AP entitled for ER subsidy? 4. If AP is entitled to a subsidy, do you calculate AP's benefit at participant's commencement and actuarially increase it to AP's commencement? Or do you simply calculate AP's benefits at her commencement applying the same level of subsidy that participant would get at that time?

I don't have an answer. However, when I have any unexplained browsing issues, clearing cash, deleting temporary Internet files, and rebooting PC sometimes helps.

TL calculated for HCEs for cushion purposes will be based on old 80% formula for 1/1/13, 1/1/14, and 1/1/15 valuations.

Yes, notice should be issued to affected participants that they cannot get their lump sum upon termination of employment. However, if there are no vested benefit yet, there are no affected participants.

http://www.actuary.org/files/qualification_standards.pdf http://www.irs.gov/pub/irs-utl/regulations2012.pdf

Crossover age maybe much higher than 68 if you have less than 10 years of participation but more than 10 years of service at those 68+ ages.

It is easier to reach an agreement between owners on the level of contributions, and/or tax deductions under a cash balance defined benefit plan,than under a standard defined benefit plan.

I am ignoring the legality of $100k-in / $100k-out scheme, and only discussing the AFTAP. I am not sure if there are any AFTAP issues from the 436 benefit restrictions perspective. AFTAP for EOY val is (MVA + Contribution)/(TL + NC). So you have MVA=$0, Contribution =$100k, TL=$0 (assumed) and NC for the minimum funding purposes probably below $100K (since $100K satisfies the minimum contribution with interest). This will give you AFTAP over 100%.

Look at the bright side. Sole proprietor hire his spouse, and both of them in the DB/DC plans covered by PBGC with the full DC contribution up to 25% of net income.

Since amendment was timely adopted before 12/31/2014, make election under 412(d)(2) to recognize it as of 1/1/2014. Then change assumptions to immediate retirement and $100k of annual benefits. It should bump your max to the level you need to deduct it all in 2014.

This is easy. Any modifications of the fully generational RP14/MP14 require (per auditors) you to prove that this is the best of the best. Somehow the fully generational RP14/MP14 is the best of the best without any proof needed.

We had several auditors requested using the RP 2014 mortality for 1/1/2014 liability measurement based on the following: http://www.aicpa.org/InterestAreas/FRC/DownloadableDocuments/TQA_Sections/TQA_Section_3700_01.pdf Reason: by the time the information is presented (i.e. time of the Form 5500 filing), the new mortality should be used for the accounting purposes.

Rates also could be found at http://www.datair.com/rates.htm Just in case anybody still wondering about AFN and HATFA http://www.dol.gov/ebsa/pdf/fab2015-1.pdf

What is the business structure, partnership or corporation? If partnership, it is a one-person plan. If corporation, it is not a one-person plan.

I suggest to postpone your profit sharing contribution until next year. I have seen too many clients where the expected earnings of $X become 50% of $X by the end of the year, and could not support a contribution that was already made.

Start a defined benefit plan with a solo 401k plan, and DO NOT invest in real estate.

1. I am not sure if it is allowed to forfeit any benefits under a DB plan 2. What plan document says about commencement? Has to commence at NRD Has to commence at NRD but may defer, however not past RBD Commence at later of NRD or actual request for benefit etc. 3. If your understanding (AE to the current date) is coming up from reading 401(a)(9)©(iii), I think this section is applicable only for the retirement from active employment. 4. Assuming all of them terminated before 70 1/2, and commencement is not allowed later then RBD date, I would actuarially increase it to RBD, and then pay them missing payments from RBD with reasonable interest. As it was mentioned above, there is no clear guidance on this issue.