JKW

A loan for a terminated participant should have been defaulted back in 2010, it was not. What is the process for getting this corrected? The custodian is generating the 1099 current date. Is there a penalty?

If a participant in a plan had a qdro to split his account and now the spouse has an account in the plan. Does the spouse count as a participant for lines 5(a-c) on the 5500SF? For example the plan has 21 participants with an account balance but one is the result of a qdro. Do I use 20 or 21 on line 5c?

Thank you - I was able to find the default provision in the document.

A former participant in one of our retirement plans passed away two years ago and the family is just calling to inquire about his account. The participant never completed a beneficary form for the account. What is required to pay the funds out properly - a court order?

Hello. I have a plan the has always had an audit done b/c they had over 100 participants. For the 2011 plan year their headcount for the beginning of the year has dipped below 100. So they would not need an audit for 2011 correct? We can file as 5500-sf? Also, does this mean that they have to go over 120 again in future years to require an audit be performed again? Based on anything I read this seems correct, just want to be sure I am not missing something. Thanks.

I have a plan that terminated in 2011 so all participants were paid out in 2011. Do I still need to file an SSA for 2010 with people with a vested benefit even though I know they were already paid out in 2011. It seems foolish to report them this year just to remove them next year. Any thoughts?

Great Thanks! I have one other question, if a plan terminates and all participants are paid out. Do we have do go back and do a "D" for all participants who have ever been reported? Or is there an easy way to say all participants have been paid out therefore they should be removed from the SSA database? Thank you.

Is the code 'd' on the 8955-SSA 'optional'? I have seen some information online regarding this but the Instructions for the form do not indicate so. Thanks.

Thank you all.

I have a plan that had late deposits in 2009 and 2010. They are late by a week or two for some of their deposits. On the 2010 5500 sch H part IV 4a, question about failure to transmit. Do I have to put the total for both years. The interest was applied in 2010 for the 2009 late deposits and the 2011 for the 2010 late deposits. Or do I just included the 2009 contributions that were not deposited until 2010?

I have a plan that changed its vesting schedule in 2009 from a 6 year to a 4 year. If a participant had left, say in 2006, and requested a distribution in 2010 or 2011, do we use the vesting percent that they had at the time of termination or does the new vesting schedule apply? The document does not give any clarification.

I have a plan that failed their 2010 ADP test but did not process their refunds until shortly after March 15th. I know they need to file a form 5330. On the 5330 is it line schedule H where I put in the dollar amount of the excess? Also do I include the earnings that were applied too or just the excess contributions? Thanks in advance.

Is there a ruling I can print out on moving small balances to the forfeiture account for those participants who already received a distribution but maybe recieved a very small dividend after or a settlement check for an account held years ago? I recall reading the cost of the distribution exceeds the balance then there is a de minimus rule. Any advice?

The bene is in the US. Thanks for the info.

I have a participant who has passed away and the beneficiary is not a us citizen and does not have a ssn. I have never come across this. How does the payout work?

I have a plan that swiched their payroll and a participants loan payment was doubled for a few weeks, therefore she is currently paid until 12/13/10. Is there any problem with the company skipping her loan payments until then or is there another way to fix this? Thanks.

Thanks.

We have a participant over age 70.5, non-owner, who worked part of the 2010 year, can she still opt out of taking her RMD for 2010 or does she have to be active at the end of the year?

I am questionning whether or not a 401l plan still needs an audit. I have a plan who had an audit in 2008 and previous years, for the 2009 plan year they have only 93 participants at the beginning of the year. The plan merged with another plan in 2009 so all that assets were transferred out by 12/31/09. So 2009 would be their Final 5500. Should this plan still have an audit for 09?

Thanks for the clarification

The plan only has employee deferral source in the plan. It is just that based on this situation since she can take out all her 12,000 in deferral this will leave her with only a loan balance out and no other money in her account. I thought a loan was supposed to be secured by 50% of a balance, but your saying thats only at the time of initial loan deposit, right?

I have received conflicting advice on available amounts for hardship after a loan. A participant has an account balance of $22,000, this includes a loan balance of 10,000, so actually account value is 12,000. Therefore after deducting the loan balance and covering the 50% this would leave the client with $2,000. So is the participant eligible for a hardship of 2,000 or are they eligible for 12,000? Thanks.

I have a few plans that require the filing of the form 5330 for 2009 and I need some clarification. Example 1. Plan had a few late payroll deposits in 2009 which were deposited in 2009. The lost earnings were only $15 and were applied to the plan in 2010. How do I report this on the 5330 on Sch C? I believe I put the due date, description and the amount of the interest of $15 in the amount of prohibited transaction. Is this correct? Since the interest was not deposited until 2010, I read that a 5330 has to be done in 2010 too. What do I put on the 2010 5330? And can I do a 5330 now for that now? Example 2. Plan had late deposits in 2009 which were not discovered until 2010. Then deferrals were deposited, interest calculated and deposited into the plan in 2010. The interest was calculated from the due date to the date the actual deposit was made in 2010. The interest for 2009 was $500 and the 2010 interest was $200. Again I have to do two 5330's one for 09 and 10. What do I put on each 5330? Thanks for any help.

That seemed to work - thanks so much. You made my day.

I am trying to upload a large plan with Attachments, everything is attached correctly but when I publish the plan I receive the error "error occurred while trying to upload the attachments to the plans you published". I have published another large plan is was able to attach and publish. The enable filing is on. Any ideas?