BG5150

The sponsor is trying to get the lower paid employees more 'equity' in the plan. It's a 403(b) plan. 400 actives. Toying with a new comp allocation that gives lower paid people bigger percentages. I doubt we would have problems with the testing that way.

Could a sponsor add a match that varies with compensation? Something like: Comp $1 to $30,000 match 100% deferrals Comp $30,001 to $50,000 match 80% of deferrals $50k to $100k 70% match $100k+ 50% match And maybe cap some of the higher tiers, like 70% of deferrals up to max match of $10,000.

Even breaking due to wear and tear is an unforeseeable emergency. The furnace doesn't have a countdown on it saying it expires in 30 days. Rules are heavy and immediate need. OK, so my furnace goes out in June. Certainly a "heavy" need. May not need it until September, maybe October. Should I just wait until then to put in my hardship request? It'll be immediate then.

Talk to the authors of your plan document. They should tell you how to do the amendment and when people will and won't come in.

I just use Password456! for most things. See, a lot of people use Password123. I changed it up to fool the hackers.

If there was indeed a partial plan termination, then all those folks are 100% vested.

^This. But aren't there tax implications to the ER, especially if they filed their 2020 taxes and deducted the whole thing? And I think what Bird is saying is maybe treat it as an excess allocation instead of a 415 violation. There, you would move the excess to a suspense account (including earnings) and use those funds to offset future employer contributions. In fact, they cannot make any more ER contributions until that account is exhausted. See EPCRS 6.06.

I also try to treat new TPAs with courtesy and even kindness. We often take over cases from TPAs to whom we've lost business. Why be a jerk to them if someday you may need stuff in return? What goes around comes around. As to the original post. There is no rule that says you MUST provide anything (unless, like Peter said, it's in one of your agreements with the client). But, also like others said, I would work with the sponsor. Say something like "let us know if you need anything." The let the new broker know that you are working with the client, and will send them the plan document you have "as a courtesy." (What stinks is when you get a letter from the client saying "please provide any information our new jerky advisors or recordkeeper or TPA asks for." Then you gotta deal with those guys.) I would make sure that you caveat anything you send to the client with "these are the latest documents/reports that we have."

When I am hand calculating earnings on an ADP refund, I usually take the gross amount of the refund, divide it by the amount of the contributions deposited in the year to get a factor. Then multiply the factor times the earnings of the period to get the earnings on the refund. For example, $5000 deferrals and $1000 refund. Factor 20%. earnings $500. Refund earnings $100. However, in this case, the participant is getting (nearly) all of her deferrals back (5800 out of 5850). AND, not all of the deferrals were deposited during the year. So, my factor is over 100%. To cap it off, there was a zero balance to start the year. So, I now have refund $5800, deposits $5000. So my factor would be 116%. My thinking is to use 5000 plus all the earnings plus the remainder of the deposit. So, 5000 + 500 + 800 for a refund of 6130. What do you think. I've never dealt with this particular situation before.

Has anyone done an Affiliated Service Group analysis of this relationship.

In my experience, there are usually ways to override the max loan threshold temporarily in many record keeping systems.

That's why I asked if it was reportable in income.

Then it wouldn't be a CODA?

Is all that part of a non-qualified deferred compensation plan?

Plan fails 2019 ADP test, but refunds never done. Correcting now under EPCRS using the one-to-one method. Are the refunds still considered "late" and therefore subject to the 10% penalty tax? Are they late in filing the 2019 5330 and thus subject to more penalties?

Is the gift reportable in income?

How does it work if you've already filed the return late? Do you amend the plan and just check the DFVCP box?

Talk tot he document provider. See what they have to say.

If you make decide to make the limit at BOY won't you have to amend the plan every year? Or will it be sufficient to codify in the document the after-tax limit is the applicable year's 415 max minus max deferrals under 402(g)? But what happens if the plan becomes Top Heavy? Or there is a situation where a QNEC is necessary? Or the ER wants to make a contribution?

I'm not sure, but I would also get some sort of pledge that the home will be their primary residence if they want the loan to be more than 5 years. (And the plan's loan policy will have to allow for home loans, too.)

Somewhere along the line, somebody added him to the SSA (now Form 8955-SSA) and didn't remove him when the account was paid out. The $49k was the value of his account when the sponsor (or, really the TPA or R/K) added him tot he SSA way back when...

Company name Two River Phrenologists On 5500 and plan docs over the years (for whatever reason) it was listed as Two Rivers Phrenology. The Plan has an identical naming issue. We are correcting the plan docs going forward, and will make the change on the 2020 5500. Will I have to complete question 4 about the name change? Or will it not matter, that one little letter?

After an hour on hold (thank goodness for speaker phones!), the agent was able to tell us that the ID we had was in fact for an old, terminated Money Purchase Plan. It was inactive. But instead of the rigamarole of re-activating and re-titling it, we are just gonna get a brand new ID via online SS4.

I have a plan that hasn't had a distribution is a few years (since 2016). How can I find out if the Trust ID has been deactivated?

If it was a 2021 filing, I wouldn't worry about it.