elleny

We have not been happy with Accudraft. There are grammatical, punctuation, and spelling errors throughout their volume submitter and their prototype documents. This is the least of the problems we encountered. Their support is accessible but not competent. It was like we were proofing and reviewing their work for them. Be careful if you use them.

Is there any way to pay deferred compensation to nonhighly compensated employees who terminate after age 61? A company would like to pay them until death and does not want to purchase an annuity. Please provide cites.

A nonowner employee works for a corporation which has a 401(k) plan. His compensation is $160,000. The employee defers $10,000 and receives a $1,000 match. He also receives commissions of $190,000 from an unrelated corporation. Can he set up a SEP and contribute $24,000 to the SEP. Or is he limited by Section 415 to a $19,000 ($30,000 minus $11,000)contribution? If possible, please cite the Code or Regulations.

What is the "last valuation date" for a fiscal year plan for purposes of the "account balance as of the last valuation date in the calendar year immediately preceding any distribution calendar year" under 1.401(a)(9), Q&A F-5A? If you have an April 30 year end and do semi-annual valuations, can you use Oct. 31 or do you have to make the adjustments in the regulations? If the adjustments are not required, what is the authority for this? If the adjustments are required, how do you adjust for a profit sharing contribution to be determined as of April 30 of the following year? Please cite authorities on all responses. Thanks.