david rigby

Does the language refer to plan expenses, "... to the extent not paid by the plan sponsor..."?

As far as I can tell, there are no regulations under ERISA sec. 4021. In 4021©(2)(B), note the phrase "... includes, but is not limited to..." Also, some of the listed professions do not require licensing, certification, etc. Thus, on its face, the statutory language does not exclude the situation proposed in the OP.

Will a retitle require the RMD to reflect beneficiary age? (I don't know, just asking. More to the point, the beneficiary should find out before requesting the change, but the PA is not his legal counsel.)

You may want to review the 411d6 reg yourself, but my recollection is that no 411d6 protection applies to any disability benefit.

What do you mean "RMD from the ABC company"? RMD comes from the plan. Is the 5% owner a participant in the plan?

"Commissions"? I hope this is just a poor choice or words.

Yikes! Since you cannot possibly present all the facts here, you should not trust any advice on your question from this Message Board, except this: Talk to your legal counsel.

http://benefitslink.com/boards/index.php?/topic/44045-too-late-for-a-short-plan-year/

This is a form of "phishing". Every recordkeeper should be aware of the dangers and include safeguards. Discuss those safeguards with the plan sponsor.

It happens often.

Is there value in maximizing one's rate of interest?

Should he have his head examined?

Might this be a red flag relating to the ability of the new recordkeeper?

Entire auditor report.

"Force-out"? Are these terminated participants? "...give some large-balance terminees an early head's up..." Discriminatory? Why would you communicate "advice" to one group of participants and not to all?

IMHO, this will not work. The 411d6 protection will apply to the accrued benefit at the date of change (frozen in this case), including the "old" definition of AE. I think this is pretty similar to the Supreme Court decision commonly referred to as "Heinz". However, since I have advocated simpler/lower late retirement AE for years, I would love to be proven wrong.

Original ERISA section 412 states "...not less than 10 per centum of the amount of funds handled." Committee reports notes that this "...provision is generally identical to present section 13 of the Welfare and Pension Plans Disclosure Act..." Thus, while it may be an arbitrary percent, it was a continuation of a previous standard.

I agree with SoCal. Any actuary can do this; most prefer to be paid for their services. Also, an experience pension actuary will ask the same question SoCal asked: what is the puprose? It's best to answer that question before chossing an interest rate and/or mortality table. A follow-up question will be, what do you mean by "balance"?

Can he save some FICA tax?

Don't overlook the possibilty that the beneficiary designation is modified, not revoked, due to remarriage. (As you know, the employee's will is not relevant to the Plan.)

Just a thought: if the company has a bankruptcy attorney, it would be prudent to get that person's opinion before amending and/or terminating the plan.

I agree with Bird that this could be a disability rider inside the insurance contracts. However, don't get too concerned about taxable payments, since (almost) all ER contributions to a qualified plan are eventually paid to recipients as taxable comp.

IMHO, regular DC admin fees that are reasonable in and of themselves, will be considered reasonable under IRC 4980(d)©. However, it's been a few years since I looked at this section. Read carefully. (There was an IRS Notice/Announcement/Rev Ruling on this section a few years ago.) But, it's just my opinion.

For some other discussion, use the Search feature with the phrase "retirees don't like change"

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