ombskid

Sch C filer. Profit sharing plan. Accountant misses the deduction for the single employee, but takes the deduction for the owner in 2006. No wages or contribution in 2007. Can they take the deduction for the contribution for 2006 (actually made in 2007) on the 2007 Sch C - even if it creates a loss? Any different answer if it didn't create a loss?

Thanks. It's clear as could be.

Earned income is generally net schedule C less 1/2 of se tax. Does the deduction for self employed health insurance have any effect? Sch c less 1/2 se tax is $8900. He wants to deduct the full $8900 (401k/profit sharing plan). Health insurance deduction is $8500. He has other income so he has use for both deductions. Can he make and deduct the full $8900 to the plan, plus take the health ins deduction?

Yes I think I'm pretty much aware of the PT rules. I was trying to remember an old exemption for a loan program but I can't find anything about it - so maybe I dreamt it!

Are there any circumstances under which a profit sharing plan can hold the mortgage of the son or daughter (not employees of the sponsor) of the company owner? Is there a residential loan program that allows such a loan in the plan?

Can a sponsor change the safe harbor from a match to a 3% non elective after the start of the year, or after the 30 day notice has been given?

Person is beneficiary of an inherited IRA. He dies after he has been taking RMD's. Estate is beneficiary. Can the estate continue to take distributions in same manner as he was?

Client has a new corp from which he willtake a small salary. Can a db plan use a high 3 average comp from his previous sch c income to fund for a benefit that is higher than 100% of the current year w-2 income? No previous db plan.

Corp's fiscal year is 4/30 DB plan is on calender year. Can employer make 2007 plan year contribution in December 2007, then the plan year 2008 contribution in April 2008, and decuct both in 4/30/2008 fiscal year? Any different answer if they make 2007 plan year contribution in Jan 2008?

This came from an auditor. Is the cancellation of the bond in a terminating plan that still has assets and 100+ participants a reportable transaction? I only find reference to transactions that are a percentage of assets.

Since so many things are portable these days, are there any/many disadvantages to it not being a rollover IRA?

Non working spouse qualifies for max spousal IRA Can the $ go in an existing rollover IRA from a previous qualified plan?

In 2006, plan sponsor pays former participant with a check from the trust written to the person for the 2004 year end balance. Doesn't tell TPA (lucky me) until now. No withholding and no 1099. Is there a "proper" corrective procedure?

But assets can be transferred directly to the new plan if participants choose? Husband and wife terminate their DB plan and start a profit sharing plan. They can transfer directly to the new plan. I shoulda asked the question this way in the first place

Can a DB plan be merged/transferred into a new profit sharing plan if all the spousal consents are done?

If an employer only wanted to match the first 2% of pay for HCE's while giving the NHCE's a basic matching contribution, could the plan still be a safe harbor plan? In other words, is it required that HCE's get the same match as NHCE's

I don't do any safe harbor match plans so forgive me if this seems too basic. Employer uses the safe harbor match of 100% of the first 3% and 50% of the next 2% for everybody, including HCE's. Is that a problem? He is being told he has to give more to the NHCE's if he gives anything to the HCE's

I have several similar plans with Vanguard. According to the Vanguard rep we discussed this with, the restriction is only on web based trading. If we submit the requests in writing they still allow the trades. It seems like a giant step backward, but so far it is working. We still make contributions and get distributions via elctronic transfer from the sponsor's bank, but make all trades on paper via mail.

Thanks BXO - that works for 5500 but not 5500-EZ But your post got me this info: For EZ's you have to write (1999 - present years) IRS Ogden Service Process Center PO Box 9941 Stop 6734 Ogden UT 84409 30 to 45 days

freeERISA doesn't have EZ filings - I should have included that in the original post. BXO - any idea where to contact DOL for getting the old form. Anybody think requesting an old form triggers any searches by them for missing filings?

We need to retrieve a 2003 filing for a new client. Old TPA can't/won't provide it, client claims no knowledge of ever filing, but the EFAST system (I think that's who operates that database) says it was filed. Anyone know how to get copies from either IRS or DOL? How long it takes?

Can key employees make only 50+ catchup contributions without triggering the need for either TH minimum or safe harbor contributions for non-key?

Is there any difference in how minimum distributions are calculated between an IRA and a profi sharing plan? I just talking about the amount of the required diistribution.

I have occassionally used the DOL EFast info number (866 463-3278) to check on a client or takeover client past filings - like did they actually file. On a new takeover the sole proprietor files a 5500 EZ. Is the EZ filing supposed to be on that system? I notice that FreeErisa does not have EZ filings at all.

I wasn't aware that the first $$ to come out of a plan was deemed to be the rmd. Do you think that would be the case even if he has been taking for several years - a fairly consistent monthly distribution?