Bill Presson

That's a fascinating way to look at it.

I just found out that Lou Filliger passed away last August. If you spent more than a day on PIX, you would remember him. Strong opinions on just about everything and an incredibly avid hiker. I never got the opportunity to meet him in person and I'm very sad about that. RIP, Lou.

Also, the amendment could have been written to apply differently to different employees by hire date, if preferred. So it could have said that it was only applicable to all those hired on or after 1/1/21, for example.

Not sure you two are saying the same things.

1. Yes 2. No

Understood. But FTW actually provides a Spanish version SPD. I thought Relius did as well.

1. It shocks me that Relius doesn't have it available because FTW does and I thought most of the document providers would. 2. I wasn't aware that speaking English was required to work. /sarcasm off 3. There are requirements for appropriate notices in a language if the plan covers a large enough group that is literate only in that language.

That shocks me. I would have sworn they provided Spanish versions of the participant material. Wow.

Most (if not all) of the document providers that I've seen provide this as an option.

I've never understood why people write weird provisions in the plan and then ignore them.

Yes, as long as the plan year is less than six months. I've seen it done a number of times and it should not be an issue.

True. Picky is important.

If the plan is safe harbor match in 2021, it doesn't matter if only the owner contributes to the plan, there's no required top heavy contribution.

SHM doesn't do double duty, but I didn't see anything asked about 2020. The whole thing said it would be top heavy in 2021 and the top heavy contribution in 2021 would be large. I don't think that's accurate. Maybe there are questions about 2020, but they weren't asked by the OP.

Did I miss something? If it's safe harbor match for 2021, then the top heavy status is irrelevant.

Agreed that most do not. But most do not calculate the RMD either unless it's an IRA. And when it's an IRA, most do prepare the 1099-r. So it's a bit of a mixed bag here. The paperwork for the account or the request to prepare the RMDs will specify, I would think.

I want to caution you on doing that, however. If a participant has rollover money in an IRA, there's likely 0% chance they will roll money into the plan if they are then restricted from all access to that money until termination, death or disability.

Even if the companies are unrelated?

Ha! I was searching to see if I could find something that would help and his old question popped up. Don't give me that much credit!

Agreed. And the RK will probably cooperate since they are providing fiduciary services to the plan now.

Seems to be an ongoing issue for Belgarath.

But won't this apply if it's a COVID distribution? Q7. May I repay a coronavirus-related distribution? A7. In general, yes, you may repay all or part of the amount of a coronavirus-related distribution to an eligible retirement plan, provided that you complete the repayment within three years after the date that the distribution was received. If you repay a coronavirus-related distribution, the distribution will be treated as though it were repaid in a direct trustee-to-trustee transfer so that you do not owe federal income tax on the distribution. If, for example, you receive a coronavirus-related distribution in 2020, you choose to include the distribution amount in income over a 3-year period (2020, 2021, and 2022), and you choose to repay the full amount to an eligible retirement plan in 2022, you may file amended federal income tax returns for 2020 and 2021 to claim a refund of the tax attributable to the amount of the distribution that you included in income for those years, and you will not be required to include any amount in income in 2022. See sections 4.D, 4.E, and 4.F of Notice 2005-92 for additional examples.

Gotcha!

Correct. But I would assume yesterday is the original filing date if the 5558 was due yesterday.

If it was me, I would recommend the client use DFVCP, especially if it's a small filer. $1,500 is a small price to pay for peace of mind.