BG5150

Has the plan consulted an ERISA attorney to see what might be done? Has someone called the DoL to see what they have to say about it?

To the OP: is it worth it to try to find a new auditor who would file a "provisional" audit and amend once everything is corrected? The current auditor is holding the plan hostage, causing (potentially) thousands of dollars in fines. Don't the auditors know that a VCP filing takes a long time to complete?

We just use dead drops around town.

If there are SSNs on the report, are you even allowed to mail it (in certain states)?

Repairs to the home are only allowed for a hardship if the expense is otherwise deductible under Sec. 165 and is not covered by insurance.

Still gotta file 5500's if plan is Frozen. From the IRS: (emphasis mine) https://www.irs.gov/retirement-plans/employee-plans-compliance-unit-epcu-completed-projects-project-with-summary-reports-frozen-plan-amendments

Mike, great idea! I did find it there. 2007 & 2008. (I only have a free account). So it looks like 2008 was the last one they filed. The EIN matches the one Jim sent me. Same Plan administrator, too. Odd: 2008 the only benefit code is 3E (back then, it was the code for prototype). 2007 only had 1A and 3E. I sent Jim a link to the form on FreeERISA.

By law, the participants must be furnished with a paper copy of the 5500 and supporting documents and schedules upon request (after payment of reasonable copying costs). Does that apply to DB plans, too?

What does "fully vested funds" mean in this case. Just the vested balance? Could you ever take a loan from "non-fully vested funds"?

Cite, if possible? (checking EOB now)

Does the Federal Truth In Lending information have to be in loan documents for participant loans?

Jim, try it with just one of those items entered. Also, do you want to send me the name of the company in a private message and I can see if I can wrangle it up?

Here's something from the 1099-R instructions: You are not required to withhold 20% of an eligible rollover distribution that, when aggregated with other eligible rollover distributions made to one person during the year, is less than $200.

It's ERISA Outline Book Chapter 6 Section IV (missing from the cite) Part D # 2.c.3

I have a question about the participant's selection of the vesting schedule. I thought that applied at the time the amendment is made. In this case, what if the amendment was made 5 years ago, and the person got rehired last year. Do they get to select the vesting schedule?

How many YOS (for vesting) did the rehired employee have when they left?

Is that 'unallocated account' perhaps an ERISA recapture account? Or something that is housing settlement proceeds?

Even if the plan is SH, you can match at any rate you want, provided all the testing is passed: ACP, deductibility, 415.

Make the doc effective 1/1/16 and the provisions you want changed effective whenever you want(ed) them to be.

But, I don't think it's up to the actuary to make sure the notices were delivered to the participants.

Did you ask for the most recent SPD?

Don't forget. As part of any self-correction under the mantle of EPCRS, the plan administrator must put in place procedures to ensure the mistake does not happen again. Keep that with the other documentation of the correction.

We all agree that $5,000 + earnings (or less the losses) must be removed from the participant's account. Either put it in a suspense account or send it back to the employer under the nebulously-defined 'mistake of fact' provision of the plan. That's it. Although, good luck with getting the suspense account thing right if they aren't used right away and there are true forfeitures under the plan. I haven't seen a r/k system that even has a suspense account feature.

(1) The ER could have had that $5,000 invested somewhere and getting earnings outside the plan. (2) Nothing says it must be used "as soon as possible." It says the company can make no other ER contributions (match included) until the suspense account is depleted. I see no problem waiting until next year when they allocate the match, to use these funds.

You cannot use the $5,000 to offset deferrals.