pixmax

I found that a prior tpa were filing the Form 5500 under Plan No 001 when in actuality it should have been 002. The Employer sponsors a Plan 001 and later sponsored another Plan but the Document and Form 5500 were marked as 001 instead of 002. Can I just fix this on Form 5500 where it asks if has a new adopting employer? I am restating the Document with 002.

I am trying to restate an old MPP Plan that was converted to a PS Plan. The employer had a PW Plan in 1996 under company A. Company B adopted a 401k Plan in 1998 (001). In 2002 Company A changed their Entity/Plan Sponsor to Company B. One, I cannot find an amendment stating this change. But as I look at 5500's Company A and B both have 001 as the Plan number. Shouldn't Plan A be 002 since the Adopting Employer already had a Plan? The 2002 Form 5500 for Company A shows a change in the Plan Sponsor, Plan Name and EIN but the Plan No is still 001.

I am working on restating 2 Documents for a client. One Plan is a 401k Plan that excludes all employees performing work covered by Davis Bacon Contracts. The other Document is a Prevailing Wage Plan that excludes all classification of employees other than those covered byt the attached Davis Bacon Contract. Question 1. It sounds to me that the 401k Plan is excluding all employees from the Davis Bacon Plan? The former TPA states no that they are excluding compensation made with the Davis Bacon Plan. 2. Doesn't 410b need to be done? If so for each Plan excludinig each classification? If compensation was excluded shouldn't 414s test be performed? Any other thoughts?

The client funded the Plan for 2008 however it went into the other Plan's Assets. I thought about filing a 5500 for 2008 showing this as the receivable, since it was actually deposited in 2009. They also had deferrals deposited into the old Plan. I think I need to find out what EIN took the deduction before filing either of the 5500's.

Good idea, thanks.

We have a client that started a new Plan as of 1/1/08, they have a new Plan Sponsor, EIN and Plan name. The Document states that all money was to be transferred from their existing Plan. The old existing Plan under a different EIN should have terminated and transferred the assets over to the new Plan. This never happened. Can I file a form 5500 for the new Plan with $0 assets? Any other suggestions? Assets will be transferred this year.

Do I use 2A for a Characterisitc code if the Plan is cross tested or do I only use it if HCE's are basicly the only ones getting the Cross testing allocation?

So it sounds like we should amend the Document to allow for partial withdrawals for terminated participants. Thanks for all the feedback.

Does a lump sum distribution mean one complete distribution of the account balance? Participant is terminated and only wants to take part of his account balance. Can he do this if the plan only allows for lump sum distributions? If the Plan were to add installments as a form of distribution do they have to take so much money for so many years? We certainly don't want to offer the annuity option.

Does anyone have a crystal report that would show participants name, address, social, loan id, loan amount, frequency, # of payments and payment amount? We are looking to supply this kind of report to each of our plan sponsors after a loan has been processed.

I have an employer that wants to stop the current match. The match is discretionary and is deposited each pay period. However, they want to amend the Plan to allow for a match at year end and apply a last day rule. My concern is that employees have already accrued the benefit. They are laying off employees near the end of the year and I feel this could pose a problem if they are not given the match. Any suggestions?

We are looking for someone who can help us create a crystal report that can be run in relius. The report will need to have formulas within as well as some graphs. We are attempting to run a gap analysis which can be mailed to participants or saved as a report to the participant website. If interested, please send me a message.

I don't have information on sunguard but you can go to Revenue Proc 2008-50 and start under section 6.

I don't want to aggregate the plans. I believe if they pass coverage on their own then one can be a safe harbor and the other tested by itself. However, I am confused on how to test for coverage. Plan A Plan B 14 employees all benefit 6 employees all benefit 1 HCE 1 HCE Obviously alone they pass. But do I need to use the denominater of 20? If so, they would fail and then I would need to aggregate plans. We do not want to aggregate because of the Safe Harbor Plan.

Question, what if one plan is safe harbor and the other Plan is not. They both pass 410b on their own. Therefore I don't need to aggregate them together for ADP testing correct? Do I need to test both plans together for 410b and exclude each group?

I have a control group of 2 plans. One is a SH NE Plan and the other is tested on Current. They pass 410b, do I have to combine both plans when doing the ADP test for the group that is not SH?

Client has 3% SHNE and a match of 50% of deferrals. It fails ACP Test. Do I forfeit or return the money from the ACP test? Can I test anything over 4% of compensation. NHCE has a match in excess of 4%.

I have a plan that is cross tested/Safe Harbor. Several participants do not meet the last day hour requirement and have been given an addtional percentage to meet the gateway. The client wants to move one of these employees to another group with a higher percentage. Can they? My thought is that he is ineligible and is only receiving the minimum to meet the gateway.

What is the correction if a Plan is failing 414s and the Plan is a Safe Harbor Match? They are not allocating a PS contribution but they do exclude bonuses as their compensation definition for the Safe Harbor Match. They do not have a bonus deferral election.