Lou S.

I agree with the 2 posters above but if you want to file amended returns, knock yourself out.

You can date the amendment anything you want but if there is a law suit for the overlapping period I'm guessing both parties get named and they let the courts decide who the responsible fiduciary is (was) at the time.

It depends on the provisions of the plan. There is the 5 year rule and the 1 year rule. The Plan must comply with one of the two rules but it can allow for the beneficiary to make an election or it can state the rule it will follow and not give the beneficiary discretion. So when in doubt read the terms of the Plan Document.

As they are "elective deferrals" I would assume they have a very low priority on the order in which they come out of person's paycheck. I have no legal basis for this conclusion but in practice it is the way I have seen them handled by nearly every payroll system I've come in contact with.

It is right in the tax code §72(p)(2)(A)

The Plan almost certainly will not talk to you. You need an attorney in this matter if your husband is in fact hiding assets as you suggest.

I think it may depend. If folks have already earned a right to an allocation or accrual based on the higher definition of pay then amending it would be likely a prohibited cutback. If no one has earned a right to the allocation yet (such as a DC plan with a last day requirement) then you are probably OK to retro amend the definition of compensation.

How are your fees disclosed to participants?

Can't file an EZ for 2015 as the plan covered one non-owner for some portion of the year. Namely 1/1 until the employee was paid out. If no new employer enter he can file EZ for 2016.

As Rigby correctly points out this will be governed by the terms of the plan and the language of the (Q)DRO which can't grant additional payment rights to the alternate payee (your ex) that aren't allowed by the Plan. For example - Some plans may allow an alternate payee to receive their benefits immediately, even if the participant doesn't have that option. Though I think this is more common in defined contribution plans than defined benefit plans. Others might allow the alternate payee to elect payments to begin at the participant's normal or earliest retirement age even if the participant continues employment and defers retirement. But without reading the actual plan document and (Q)DRO we are just speculating here.

Dear retiree, Please note you only have x # of remaining payments from the Plan. Sincerely, The Plan.

Likely expensively and with a good ERISA attorney.

I think you are fine curing the loan the first time it is discovered "and putting in procedures to avoid it happening again". I think you have not cured it if you repeat the pattern on a regular basis.

I believe this falls under 4979 and the due date is "the last day of the 15th month after the close of the plan year in which the excess contributions or excess aggregate contributions relate" which for calendar year 2015 plans would be March 31, 2017. See Page 2 of IRS instriuctions https://www.irs.gov/pub/irs-pdf/i5330.pdf

I could be wrong but I thought if you could show the money was rolled in from an ERISA plan it retained the ERISA protections even if over the state limits. But my understanding is similar to jpdrews. That is it varies by state and some states have limits on what is protected.

You could probably allow it. The only issue I could see is if the existing loans are all or substantially all to highly compensated employees but you've stated that isn't the case. You might want to document the administrative procedures and even go so far as to adopt an amendment something to the effect of "Due to the acquisition of the XYZ company, the ABC will accept rollovers of loans in-kind from the participants of XYZ company who rollover their accounts to the ABC plan and will allow the loans to be repaid under their original term in the XYZ plan. New loans will still not be offered in the ABC Plan" Or something along those lines. This is assuming ABC company wants the head ache of administering rolled in loans form XYZ.

What is the worst that happens if they "disqualify" the plan? Disallow the deduction that wasn't taken and income on the trust assets that he's already picked up? Do you have a 5500 filing requirement? And if you don't file is there a penalty? I mean it's a really odd set of facts.

In the 401(k) you are correct you have anti-cutback issues with vesting years if you ignore the original document. Oh and if they added a DB I'm betting these plans are top heavy and the 1 month of service 401(k) eligible employees are likely going to need a TH-minimum and I think a gateway contrib too.

I think the best of this worst case scenario would be - 1 Retro amend plan for in-service distribution at 59.5 2 Issue 1099-R for 2015 distribution. 3 Pay taxes on the distribution (file amended tax return if necessary) I guess there is some crazy argument that might be constructed as it was a prohibited loan to the company and pay the excise tax for 2015 and 2016 and future years if not corrected by the end of 2016 but that seems a very slippery slope given that no promissory note between the company and plan likely to exist.

Well I guess you could argue he is a sole proprietor with $0 income and has a 415© limit of $0 which he has exceeded with the deposit of $X dollars used to open the account.

Did the guys sign the plan document on behalf of large company? Because he likely has no authority to execute a plan document meaning there is no valid document to begin with, with or without an IRS DL submission.

Random guy off street - Can I haz 401k? Broker - Sure deposit money here Random guy off street - Can I haz my money back Broker - No Have you asked the brokerage company for a copy of the plan document they used to open the account?

You can set a default to 7% but I'm pretty sure you have to allow for elections below that.

I believe this has come up a few times if you do a search. General consensus was that it was a definition of compensation on the plan documents and MOST documents are drafted to allow continued deferrals until the participant hits the 402(g) limit even if they have passed the 401(a)(17) comp limit.

2015 calendar year test? Why not just do refund now? You have until 12/31/2016. Or if you are doing a QNEC you also have until 12/31/2016 to fund a QNEC for testing. You just need to File a 5330 for the excise tax due since the refunds weren't done by 3/15/16 if you do refunds. The um "lost" maybe notice is a separate and likely more troubling issue in my humble opinion. I'm not sure what the relevance of the Plan having Roth contributions is to the original question.