PensionPro

According to Notice 2005-95, the deadline was the latest of the following: (1) December 31, 2005 (2) The last day of the plan year that includes March 28, 2005 or (3) the employer's tax return date including extensions for the year that includes March 28, 2005

The DOL Web site has this from the 2005 pension plan bulletin. I could find nothing more current. Best wishes. 2005pensionplanbulletin.pdf

File/issue amended 1099-Rs and inform IRA custodian of ineligible rollover amount as applicable. §1.401(k)-2(b)(2) (v) Distribution. Within 12 months after the close of the plan year in which the excess contribution arose, the plan must distribute to each HCE the excess contributions apportioned to such HCE under paragraph (b)(2)(iii) of this section and the allocable income. Except as otherwise provided in this paragraph (b)(2)(v) and paragraph (b)(4)(i) of this section, a distribution of excess contributions must be in addition to any other distributions made during the year and must be designated as a corrective distribution by the employer. In the event of a complete termination of the plan during the plan year in which an excess contribution arose, the corrective distribution must be made as soon as administratively feasible after the date of termination of the plan, but in no event later than 12 months after the date of termination. If the entire account balance of an HCE is distributed prior to when the plan makes a distribution of excess contributions in accordance with this paragraph (b)(2), the distribution is deemed to have been a corrective distribution of excess contributions (and income) to the extent that a corrective distribution would otherwise have been required.

Schedule R should not be filed if lines 1 through 8 are left blank or checked "N/A".

There is an exception to filing 5500 for the Qualified Termination Administrator (QTA) of an orphan plan. However, the plan sponsor remains liable for filing regular 5500 forms until final distribution. Who is signing the 5500 as plan sponsor?

Here is a link that answers the age-old question of finding an ERISA attorney. http://benefitslink.com/boards/index.php?showtopic=36422

Or are willing to take on debt.

The IRS office in Ogden is located at 324 25th St. Ogden, UT 84401

There is a Frontier Trust Co in Connecticut: Frontier Trust Company, FSB 90 State House Square Hartford, Connecticut 06103 I don't know what an FIN is, but that EIN (Employer Identification Number) is registered to the office of a real estate agent/broker in SC, so that probably does not help you.

The instructions to line 2b of the 5500-EZ say "do not enter your social security number." Also, the 5500-EZ instructions state that "generally, the Form 5500 series return/reports and some of the related schedules are open to public inspection." On a sidenote, the instruction to certain attachments of Form 5500 state that because of privacy concerns the inclusion of a social security number may result in the rejection of the filing.

The language of ERISA and the Code state that the alternate payee can only be "any spouse, former spouse, child, or other dependent of a participant" (IRC § 414(p)(8), ERISA § 206(d)(3)(K)), but to the best of my knowledge the statutes do not specify who can be a contingent beneficiary of an alternate payee.

1.401(k)-1(4)(ii) Treatment of elective contributions as employer contributions. Except as otherwise provided in §1.401(k)–2(b)(3), elective contributions under a qualified cash or deferred arrangement (including designated Roth contributions) are treated as employer contributions.

One must use employees' 401(k) deferrals in the ABPT. Disregard after-tax employee contributions and catch-up. 1.410(b)-7(e) Determination of plans in testing group for average benefit percentage test—(1) In general. For purposes of applying the average benefit percentage test of §1.410(b)–5 with respect to a plan, all plans in the testing group must be taken into account. For this purpose, the plans in the testing group are the plan being tested and all other plans of the employer that could be permissively aggregated with that plan under paragraph (d) of this section. Whether two or more plans could be permissively aggregated under paragraph (d) of this section is determined (i) without regard to the rule in paragraph (d)(4) of this section that portions of two or more plans benefiting employees of the same line of business may not be aggregated if any of the plans is tested under the special rule for employer-wide plans in §1.414®–1©(2)(ii), (ii) without regard to paragraph (d)(5) of this section, and (iii) by applying paragraph (d)(2) of this section without regard to paragraphs ©(1) and ©(2) of this section. Hope this helps.

If an ERISA plan, seems to be a PT under ERISA 408©(2): 408. © Nothing in section 406 shall be construed to prohibit any fiduciary from-- (2) receiving any reasonable compensation for services rendered, or for the reimbursement of expenses properly and actually incurred, in the performance of his duties with the plan; except that no person so serving who already receives full-time pay from an employer or an association of employers, whose employees are participants in the plan, or from an employee organization whose members are participants in such plan shall receive compensation from such plan, except for reimbursement of expenses properly and actually incurred.

You may want to check out the Bureau of Labor Statistics at www.bls.gov. One of their recent reports is attached as an example of what you might find. EBS_0808.pdf

According to the DOL, Form 5500 filers for plans without employees (as described in 29 CFR § 2510.3-3(b) and ©) are not eligible to participate in the DFVCP because such plans are not subject to Title I of ERISA.

As long as the mailing was timely and the client has a copy of the postmark or proof of delivery, the deposit should be considered timely under Section 7502, especially since the TPA is maintaining the daily valuation platform: 7502(a)(1) Date of delivery.--If any return, claim, statement, or other document required to be filed, or any payment required to be made, within a prescribed period or on or before a prescribed date under authority of any provision of the internal revenue laws is, after such period or such date, delivered by United States mail to the agency, officer, or office with which such return, claim, statement, or other document is required to be filed, or to which such payment is required to be made, the date of the United States postmark stamped on the cover in which such return, claim, statement, or other document, or payment, is mailed shall be deemed to be the date of delivery or the date of payment, as the case may be. 7502(a)(2) Mailing requirements.--This subsection shall apply only if-- 7502(a)(2)(A) the postmark date falls within the prescribed period or on or before the prescribed date-- 7502(a)(2)(A)(i) for the filing (including any extension granted for such filing) of the return, claim, statement, or other document, or 7502(a)(2)(A)(ii) for making the payment (including any extension granted for making such payment), and 7502(a)(2)(B) the return, claim, statement, or other document, or payment was, within the time prescribed in subparagraph (A), deposited in the mail in the United States in an envelope or other appropriate wrapper, postage prepaid, properly addressed to the agency, officer, or office with which the return, claim, statement, or other document is required to be filed, or to which such payment is required to be made. 7502(b) Postmarks.-- This section shall apply in the case of postmarks not made by the United States Postal Service only if and to the extent provided by regulations prescribed by the Secretary. 7502© Registered and Certified Mailing; Electronic Filing.-- 7502©(1) Registered mail.--For purposes of this section, if any return, claim, statement, or other document, or payment, is sent by United States registered mail-- 7502©(1)(A) such registration shall be prima facie evidence that the return, claim, statement, or other document was delivered to the agency, officer, or office to which addressed; and 7502©(1)(B) the date of registration shall be deemed the postmark date. 7502©(2) Certified mail; electronic filing.--The Secretary is authorized to provide by regulations the extent to which the provisions of paragraph (1) with respect to prima facie evidence of delivery and the postmark date shall apply to certified mail and electronic filing.

On line 4a of Schedule H/I you would "enter the aggregate amount of all late contributions for the year." It is only referencing Form 5330 in the following context, "If such a nonexempt prohibited transaction occurred with respect to a disqualified person (see Code section 4975(e)(2)), file Form 5330, Return of Excise Taxes Related to Employee Benefit Plans, with the IRS to pay any applicable excise tax on the transaction."

No expert I, but that coverage is limited, as stated in the linked item: In my limited understanding, it appears that some (not necessarily all) of these "securities" are exempt from SEC oversight/regulation. However, they resemble insurance products, but no one (insurance regulators, auditors, etc) required any reserving. The situation described by the original poster is a plan that holds 6 mutual funds valued at $250,000 through a broker. An investor should read through the complete description of coverage (limitations, disclaimers, and all) and determine whether they have coverage available, or whether they should restructure their investment portfolio to enjoy that coverage.

Under "Who Must File," the instructions state, "any disqualified person who is liable for the tax under section 4975 for participating in a prohibited transaction ..." It does not appear that a 5330 filing is required when there is no tax liability.

It should already be insured under SIPC, just as bank deposits are insured under FDIC, and credit union deposits are insured by NCUA. Here is an Investor Alert from FINRA that should be helpful: it describes the limitations on coverage. http://www.finra.org/Investors/ProtectYour...rAlerts/P116996

Since I have not been following this thread closely, I am not sure if the following IRS memo was previously referenced: http://www.irs.gov/pub/irs-utl/am2008009.pdf

This was discussed only a few months ago: http://benefitslink.com/boards/index.php?showtopic=37535.

You may enjoy this PLR: Private Letter Ruling 200205050 (8 Nov 2001) UIL: 401.00-00 Date: November 8, 2001 Refer Reply To: T:EP:RA:TI Attn: * * * LEGEND: Company A = * * * Company B = * * * State D = * * * Country C = * * * Plan X = * * * Dear * * * This is in response to a letter dated August 22, 2000, as supplemented by additional correspondence dated January 17, 2001, filed on your behalf by your authorized representative regarding a ruling under sections 401(a) and 4975(e)(7) of the Internal Revenue Code (the "Code"). The following facts and representations were submitted in support of your request. Company A is a domestic closely held C corporation incorporated under the laws of State D. Company A wholly owns several subsidiaries, including Company B, a foreign corporation organized under the laws of Country C. Company B has two employees ("Employees") who are US citizens working for Company B and who receive compensation that is considered "foreign earned income" under section 911 of the Internal Revenue Code (the "Code"). Company A maintains Plan X, an ESOP qualified under sections 401(a) and 4975(e)(7) for eligible employees of Company A and its subsidiaries. These Employees may participate in Plan X pursuant to the plan's eligibility provisions. Plan X invests primarily in employer securities as defined under section 409(1)(2). Section 2 of Plan X defines "Employer" as Company A and any Affiliate which elects to cover its employees under the plan. "Affiliate" is defined as Company A and any other corporation which is a member of a controlled group of corporations within the meaning of Code section 414(b) of which Company A is also a member, and other entities required to be aggregated under sections 414©, 414(m), and 414(o). This section of Plan X also defines "participant" generally to mean a common law employee of an Employer who has met certain eligibility requirements as provided in the plan. Section 2 defines "compensation" as the total cash compensation paid to an Employee by Company A or an Affiliate during the Plan year excluding any amount in excess of $160,000 (as adjusted for COLAs under section 401(a)(17)). Based on the above facts and representations, you request a ruling that during the time that the Employees are employed by Company B and receiving "foreign earned income" as defined under Code section 911, the Employees may participate in Plan X without adversely affecting the qualified status of the plan and its underlying trust under sections 401(a), 501(a) and 4975(e)(7). The Employee Plans Technical office does not ordinarily issue rulings on matters involving plan qualification. However, since we have determined that the taxpayer has met the criteria set forth in Section 6.03 of Rev. Proc. 2001-4, 2001-1 I.R.B. 121, our office has decided to provide a ruling in response to the taxpayer's request. Code section 414(b) provides that for purposes of sections 401, 408(k), 408(p), 410, 411, 415 and 416, all employees of all corporations which are members of a controlled group of corporations (within the meaning section 1563(a), determined without regard to section 1563(a)(4) and (e)(3)© are treated as employed by a single employer. Section 1.414(b) of the federal Income Tax Regulations (the "regulations") provides that for purposes of Code section 414(b), the term "members of a controlled group" means two or more corporations connected through stock ownership described in section 1563(a)(1), (2), or (3), whether or not such corporations are "component members of a controlled group" within the meaning of section 1563(b). Code section 1563(a) defines a parent-subsidiary controlled group as any group of one or more chains of corporations connected through stock ownership with a common parent corporation if certain stock ownership tests involving, at least 80 percent of the total value of shares of all classes, in relation to the parent and other corporations, are satisfied. Code section 1563(b)(2)© excludes from the definition of a "component member of a controlled group" a foreign corporation subject to tax under section 881 for such taxable year. Section 1.415-2(d)(2) of the regulations provides that for purposes of paragraph (d)(2)(i), which describes compensation for testing purposes under Code section 415 as including wages and salary, foreign earned income under section 911(b) (whether or not excludable under section 911) is also included. As indicated above, under Code section 1563(b), a foreign corporation subject to tax under section 881 is not treated as a member of a controlled group for purposes of section 1563. This exclusion, however, does not apply for purposes of section 414(b). Under section 414(b), any corporation that is a member of a parent-subsidiary group is aggregated, whether or not the corporation is considered a component member of a controlled group under section 1563(b). Applying these principles, Company A and Company B are considered to be members of a controlled group for purposes of 414(b). We further note that there exists a controlled group of corporations for purposes of section 409(l). See 1.46- 8(b)(4)(i) of the regulations. Accordingly, we rule that the Employees' mere participation in Plan X and receipt of foreign earned income under section 911 while employed with Company B will not adversely affect the qualified status of Plan X under sections 401(a), 501(a), and 4975(e)(7). This ruling is based on the assumption that Plan X remains otherwise qualified under Code sections 401(a), 409 and 4975(e)(7) and its related trust is tax exempt under section 501(a) at all relevant times. This ruling is directed only to the taxpayer who requested it. Code section 6110(k)(3) provides that it may not be used or cited by others as precedent. A copy of this ruling has been sent to your authorized representative in accordance with a power of attorney on file with this office. Should you have any concerns regarding this letter, please contact * * * . Sincerely yours, John Swieca, Manager Employee Technical Group 1 Tax Exempt and Government Entities Division cc: Enclosures: Deleted copy of ruling Notice 437

Yes, loans have been permitted to owner-employees in SIMPLE 401(k) plans since 1/1/2002.