BG5150

Upon closer inspection: He put in $10,000 in 2015. He put in $25,000 for 2015 in February of 2016. I think he is okay for 2015 and we will book the other $10,000 as a 2016 contribution. He will have $25,000 left in 2016, assuming he has income levels that could support it.

He deposited about $25,000 in early 2016 for 2015. So I guess I can treat the "extra" as a 2016 contribution. let's say he put it in in 2015. Is there just a tax? The money doesn't come out at all? Do we pay the tax with a 5330?

White Out.

Did you post it here? I do not see it.

Sole prop 401(k) plan. Owner is sole participant. He makes $100,000. Defers $18,000. Deposits $30,000 in PS. He's $5,000 over 404(a)3 deduction limit. What is the remedy?

I have a plan who's 414(s) test is failing by 5.27% because the one and only HCE (the owner) has no bonus. It's a 3% SH plan. Do I give everybody 3% of their full pay now?

Be sure to apportion the staff's contribution to all the partners, not just the one with positive income. That is, if it's a 25% per man split, and the staff contribution is $10,000, the partner in the black only absorbs $2,500 of it. The other three will all have losses that are $2,500 greater each. (I try to draft my document to exclude all HCEs from the SH. The company can make it up by making a profit sharing instead. Well, for all my New Comp plans, anyway.)

Or, you could wait more than 1 year to correct the failed test and make a QNEC under EPCRS.

No you may not. You must have a year with NHCE only getting matches. Or, you can swtich to current year testing for ACP-only for 5 years. You do not have to test ADP and ACP on the same basis.

Was the Notice given out? Did the Sponsor not see the part in the Notice about deferrals and speak up?

Why not just buy a TPA firm?

This way, the HCEs are getting a bigger SH than the rank and file. What about that DOESN'T scream discrimination?

QSLOB?

What kind of loan doesn't need to be repaid? Did the insurance company issue any sort of tax form on the withdrawal?

Can you do component plans for 401(k)/(m) testing? Or is that just a(4)?

Me, too, please!

Will the IRS talk tot he TPA without a PoA?

Then ya got me

Is this the first plan of the employer?

What was the effective date of the plan on the 2014 5500?

But doesn't this discretionary match, on top of the SH Match cause the Top Heavy minimum to be due?

Does anyone do their general testing using the accrued-to-date method? We have a client whose prior TPA did their calculations that way and I can't make heads or tails of it. I understand the general premise, but Relius cannot do the calculation so it would have to all be done by hand. (Or, rather, spreadsheet) Questions: for average compensation: are you taking the average compensation over the measuring period? Last 3? High 3? Does the measuring period have a minimum length? 2, 3 years maybe? Is this a popular method to use? This is the first time I've come acrosst this since reading about it for an ASPPA test like 10 years ago.

I filed a zero participant/zero assets/non-final 5500 for much the same situation a couple years ago. No questions so far. But you never know.

Why not just amend the plan to allow immediate entry? Maybe one year for the match. The first year the people are hired, they aren't HCEs anyway.

That's 22 / 23 / 24. The following day, 4/9/16 was 22 / 32 / 42