ombskid

Thanks!

Legal settlement agreement calls for (among many things) no company contribution to a (now) former employee and plan participant. Covers what would have been a short plan year for the former employee. The employee did make some 401(k) contributions, and would be eligible for safe harbor plus profit sharing company contributions. Simple question - can this be done?

Sole proprietors with an existing plan can make 2021 401(k) as well as profit sharing contributions up to their extended tax filing date in 2022. Sole proprietors can adopt a new 401(k) plan in 2022 for 2021 (up to extended tax filing date in 2022). Can they make both 401(k) and profit sharing contributions to the new plan in 2022?

50% owner of llc also works for wife as w2 employee. Contributes the max 401k and gets a 25% match Can he get the dc max in the llc's plan if his comp is high enough? He will not do any 401k in the llc.

Does owning a private home make them 10% or more partners (in capital or profits) or joint venturers? That's the only question.

Company owner and plan trustee wants to lend part of his asset in plan to a person who will co-own a private home for the 2 of them. Does the purchase make this person a 10% or more partner or joint venturer?

Thank you both

If the plan sends out the standard distribution request form, there is no option on the form to have it treated as a CRD. For most, doesn't that mean 20% up front withholding? Would they "treat it as such" when they file their taxes, and get back some or all when they file their taxes over the next 3 years?

Having trouble understanding Coronaviris Related Distributions in a currently terminating plan. Is it the sponsor's option to allow distributions as part of a termination to be CRD'S? If a notice of termination has been sent can the sponsor still opt to allow CRD's? Thanks in advance.

401(k) plan has SHNE plus profit sharing. General test. I year eligibility New entrant leaves after 3 months of participation. Profit sharing is 0% vested under 6 year vesting schedule. Does the profit sharing piece have to be vested to count in the general test?

Thanks. That's pretty much what I thought.

Similar situation but ps and cash balance plans. Put 4000 too much into ps plan during 2019. Can that be transferred to CB plan now as part of the cb 2019 contribution?

Of course it's an S Corp.I shudda checked that first. Thanks all.

5 docs have always gotten w2 income from the PC. This year they are also getting pass through income on a k-1. Is this passthrough income treated as earned income for profit sharing plan calculations?

Thanks for the valuable input

Business owner wants to use part of his profit sharing segregated account to make a mortgage loan to an unrelated individual. Proper documentation and an attachment or lien will be filed. Any problem with this type of loan?

Thanks. Good to know about Pub 560.

I active and 1 inactive partner in an LLC taxed as partnership. DB plan contribution generally is not supposed to create a loss, (I can't find the thread on that subject but I believe there is at least one) to a sole proprietor. Is it also true to a partnership where profit & loss pass through to 1040?

Found it. There is a list of surveys on the irs.gov site that says it's legit

Client sent a fax of a request to complete an online survey at www.irs-ppbsurvey.org I don't like the looks of it, but I could be wrong. Has anybody seen this or completed it?

Rev Proc 2018-52 is fascinating. Like being on a roller coaster, it keeps referring back to another section. The employer would like to let the former participant keep the overpayment. The amount is approx $900. Can the employer adopt a retroactive amendment under SCP that provides for 100% vesting for just the period of time that includes this particular participant's tenure - where she was the only non-owner participant?

Participant leaves the company and requests distribution of plan balance. Broker processes a payout without consulting TPA. With plan sponsor consent the participant is paid out 100%. Problem is the participant wasn't 100% vested. Any experience getting funds returned so proper amount can be withheld?

Thank you

So when w2 income is high enough to reduce the se tax amount due - because taxable wages go over the ss wage base - the maximum ps contribution would be increased. Is that accurate?

Partner in an llc gets a k1 with 70,000+- in net se income. He has w2 income from other companies that have social security withheld. Does the social security from the w2's affect the calculation of a maximum profit sharing contribution?