GMK

If they are worried about doing nothing, an intermediate solution might be to print out one-page data sheets from the internet for each fund (from the fund company, Morningstar, MarketWatch, whatever), jot down other fees they know of, staple the sheets together, and file it. You could pass it around the dinner table so everyone has a chance to see it, or just tell everyone that this fee disclosure package exists. Even without the prescribed format, the information is on record. And it's not a bad idea to review fees and performance once a year, anyway.

Thank you, BenefitsLink, for the Manage Ignore Prefs feature.

The first plan year in a participant's qualified election period is the plan year in which the participant became a qualified participant (unless that happened a long, long time ago). So, when that first plan year of the qualified election period is done, the qualified participant can take a diversification distribution for that just-completed plan year. If the participant reaches age 55 and has 10 years of participation on any give day in 2012, then (for a calendar year plan) the first year of the Qual Elect Period is 2012. When 2012 is finished, the participant can take a diversification distribution in early 2013 for Plan Year 2012. You don't wait another plan year. It's not the first full plan year after the participant becomes a qualified participant. It's the year in which you become a qualified participant. Clear? or isn't that your question? edit: used to say "10 years of service" in paragraph 2

Ask for a Summary of Benefits and Coverages (SBC) notice. You should receive this notice each year from your coverage provider, or the plan sponsor may send it if your coverage is under a group health plan. My understanding is that under ERISA you have a right examine Certificates of Coverage for free, and that you can get a copy upon written request, although you may be charged a copying fee.

I agree with BG5150 that this is probably from the Summary Plan Description, not the Plan Document. Even so, if the wording in the thumbnail on post #16 is pre-amendment, then the company appears to be able to delay payment up to 5 years unless the termination is normal retirement, deferred retirement, or disability retirement. That said, I think that ESOP Guy is correct that the company has to follow what its forms say. A question would be does "as soon as practicable" mean 'as soon as we have enough money' (I'd get a lawyer to answer that). And as to the present case, ESOP Guy's post #20, above, is very relevant. You can't change the rules on someone who has already retired and filed a proper claim for benefits. BTW, if the ESOP can make distributions in shares of stock, then the ESOP has a put option. Really need to look at (or have your lawyer look at) the Plan Document to get your answers. edit: typo

It says not later than the end of the 5th year (unless the participant elects further deferral of the payment in writing). This looks like a way to get inactive participants off the books within 5 years unless they request to stay in the plan. But what we don't see is the rest of the paragraph. Does it say that payment can be delayed at the discretion of the employer in the section where this phrase is or in another section of the Plan Doc? Is this in regard to a Put Option (which may have terms that allow partial payments)? You can request to see the Plan Document (or request a copy if you pay a copying fee), and you can ask the plan administrator to show you the section that allowed (before the amendment) the employer to delay the distribution. Edit: Look in the Plan Document for a section on Commencement of Benefits and Limits on Time of Commencement of Benefits.

Again I agree with ESOP guy. Based on what's been posted, the company has to get the money (may need to borrow it) for this distribution now. Presumably the plan's ERISA lawyer thinks the plan can be amended to make current participants have to wait an extra 5 years for their benefits, but even if it is OK, that amendment came after this employee filed a benefit claim under the pre-amendment rules. The number for the Employee Benefits Security Administration is 1-866-444-3272.

It's hard for me to see any positives for the plan. What are you trying to accomplish by auto-enrolling 80%, including HCEs, but not this group of NHCEs?

^ because there would be no plan sponsor after the corporation dissolves, yes?

^ if you add the SH Match, they will come (most likely).

I suggest sending it to all participants, ... unless somehow you know that the others are perfectly diversified for their investment goals, time to retirement, risk aversion, etc. Some people decide not to risk what they have, and that's their choice. Sometimes it's a temporary shelter in a volatile market. Sometimes, it's just their approach to investing. There's no problem with educating them about diversification, but don't try to convince only one group. Who's to say that such education isn't also valuable to the participant who is 100% invested in a small cap value fund or who has no large cap exposure. And who's to say that diversification in the plan is necessary if we don't know what investments they have outside the plan.

Here are a couple of the several discussions about how you may be able to make catch-up contributions if you hit a statutory or plan contribution limit (subject to plan wording). http://benefitslink.com/boards/index.php?/topic/52976-catch-up-rechartization-after-failed-adp/ http://benefitslink.com/boards/index.php?/topic/53065-dc-415-limit-with-catch-up/

This may help: http://benefitslink.com/boards/index.php?/topic/53307-free-food/ and since it's beer, maybe check the company's liability coverage.

^ assuming that's what the DB Plan Doc says.

^I'm not fully versed in the matter, but I think your concern is legit. This may provide some useful answers: http://www.sevenhillsservice.com/ftpgetfile.php?id=133

^ but it is good advice.

All your posts are informative, but watch that language, young man. Remember, most non-discriminating readers prefer the less offensive expletive "oh carp." (Yes, we realize that may have been a typo in your post.) Also you can complete and file your form at pilgrimsantagrinch.com at any time. You will, however, need to update the 27-character password at least every 950 seconds for access to the site. For your convenience, instructions on the types and order of characters required in a password have been sent to you by telex, and have a great Labor Day weekend.

Looks like if they each have their own plan document, SPD, and plan number, then it's 2 plans. If there's one plan doc (like a wrap doc), one SPD, and one plan number, then it's one plan.

(booming voice from the clouds) because you were handy. FWIW, I was hoping someone had a cite to post. Maybe ING will write the check. It's worth a try.

I'd like to pay Mom, too, but will the ERISA police see that as not following the terms of the Plan? Will you explain to Mom her rollover options? Do the short form estate filing, if possible, to avoid the compliance issues. Q: Is it allowed to amend the Plan retroactively to add that in the case of no beneficiary form, the beneficiary is the surviving children, and if none, then the surviving parents, and if none then the estate? or does that have to be a proactive amendment? In either case, I'd suggest that the plan be so amended for future cases like this.

I think that power of attorney, including durable POA, ends when the person dies. There may be a way to file a cheap estate claim without probate expenses (as I now see masteff just posted).

Some options - Get a second opinion (at the company's expense) of her fitness to return to work. Get the doctors to recommend exercises to strengthen the patient's back and to prescribe a back brace or support. Impose a weight lifting limit on her at work. Hope that her doctor doesn't lead her down a path to total disability.

^and check (as you probably already have done) that the plan doc and loan doc do not prohibit the participant from choosing to end payroll deductions or other loan payments.

It's been a long week. It's Friday. It's been 11 years (see post 2). It's time to bump this.

^The benefit can be distributed in shares of stock. The participant gets a "put option" giving the participant the choice to, in effect, require the company to buy the distributed shares. The Plan Doc may specify that the company automatically and immediately buys any shares that the ESOP distributes, for example, if the company is an S corp owned by the ESOP. These circumstances mean that the company must have some cash on hand to buy the distributed shares. The ESOP doesn't necessarily have to hold the cash.