BG5150

With the ease of electronic filing these days, you could amend '16 to have a $2,000 receivable, an 2017 with same rec'able and 2018 with the payout. Maybe do 2018 short plan year and file a second 2017 for with 2018 dates a couple days later. For a total of maybe 15 minutes of work, I don't even think we would charge the client. I would just do the '17 & '18 filings on a one-participant SF just to keep things as consistent as possible.

1) I'm not positive this is for religious reasons. The person has a Middle eastern-sounding name, and I am putting it forth as a possible reason. 2) Just noticed my plan document has a provision that there CANNOT be any irrevocable waivers anymore (though older ones may be enforced).

The default investment will have some sort of earnings akin to interest.

There is a participant in a DC plan who adamantly refuses to have neither an employee nor an employer account. This may have to do with religious reasons against interest bearing accounts. The plan is not top heavy, but it is a 3% SHNEC. He did not sign a waiver prior to becoming eligible in the plan. Has anyone encountered this? How did you resolve it? We were toying with an amendment: All employees hired in November 2015 are ineligible to participate in the plan. He is the only EE hired in that time-frame.

We only take on Safe Harbor business. [Or, at least, that's what I keep telling the owners of our company we should do...]

1000 hours by March 31? She's a workhorse!

Can always file a one-participant SF, too...

Tell the owner he better have all those enrollment forms with 0% deferrals...

To me, the plan is not "obviously" top heavy. The owner and wife would have to have more than 60% of the total plan assets (adjusted by several things). The only way I could see this getting TH is if there were some PS contributions skewed heavily to the owner.

Is the plan Top Heavy? How so? Does the 2% owner (assuming they are indeed a Key EE year after year) have more than 60% of the plan assets? AND, if they did not make a deferral, or receive any PS, then they receive a 0% allocation for the year, and no Top Heavy contribution is necessary.

I'm guessing they could use the 2-yr eligibility with that entry date, tho'

Same rationale for a PS only plan, right...

I don't think so. But your threw me a curveball when you posted Did you mean Safe Harbor (SH) instead of Top Heavy (TH)?

Gap earnings...I know the Final 401(k) took them out, but was it mandatory or voluntary. In other words, could the document still have language saying to calculate it?

Plan has this elgibility: Age 20 1/2 1 YOS (1,000 hrs) Entry date: First day of plan year following. That's it. Ont he surface it seems it violated the 18 months rule, but I am half-remembering (probably incorrectly) that the age 20 1/2 somehow buys me an extra 6 months, but I can figure it out.

He said the plan had no HCEs. And being a 2% doesn't necessarily mean making a ton of money (more than $150,000, anyway).

How much does the 1% owner make? In order for them to be a Key EE, they would have to make in excess of $150,000. That would make them an HCE, too.

Form EOB. It's the paying out of assets that triggers SPY for 5500 purposes.

I didn't think a plan term necessarily created a short plan year for 5500 purposes...

yes

If there are no HCE, how are there any key employees?

Did they run the average benefits test? Or, maybe the Safe Harbor-only people need to be brought up to the gateway, which the document should provide for explicitly. No need for an 11-g amendment there...

Did it used to? I'd contact Govn't Forms if it used to and not doing it now. TBH: It's been a while since I verified the numbers on an SAR. I jsut usually make sure the plan/employer's names and addresses are right...

Don't you have software that automatically generates one for you?

The regs say "plan provides for..." which means match is in effect even if the company does not make any match contributions.