Cathy from Chicago

I can fax you the notice as it's too long to type and we don't have a scanner at the office..give me your fax number, etc.

Our office just received a fax from ASPA which contained wording which may be used if the 5500 is filed after the 10/16 deadline. The plan sponsor has to sign the letter, not the TPA. The sample wording (i'm not at office to quote exactly) basically says due to problems with the new filing systems the form was unable to be completed. Apparently, per the fax we received, only 25% of practitioners they surveyed will be able to meet the 10/16 deadline whereas in the past, 75% of practitioners were able to meet the established deadlines (extensions included). This whole new process is ridiculous.

If I recall correctly, we had a similiar situation one year and did not file a 5500. The second year of the plan, we said it was the first year, although put the actual adotion date, which, of course, was the prior year. To date, we've never received notification from the IRS that this approach was incorrect. Course...who knows how the DOL will react?

During the ASPA webcourse, the leader said Schedule T replaces the prior 21c attachment. Our position on its completion is that for all plans with the 410b test results of 100% benefitting, we're simply checking that box (not at office and don't remember the box letter). For our New Comparability plans, we complete the ratio info on page 2. I'm not totally convinced this is the right approach but that's the one we've selected.

Didn't realize all that you pointed out hovers around the administration world - but, I appreciate you letting me in on this! amazing....

I think preparation of the 5500's has gotten to me as I'm feeling our admin fees are too low! Has a survey ever been conducted here? If not, is this of interest to any admin firms? Let me know your interest and ideas on how this could be conducted. Thanks.

I also seem to remember something about the existence of this feature but don't have a clue where it is located. did you try the help topics (report 36)? Have you written Blaze and asked them? Writing them is probably the quickest way to get an answer! Sorry...

I'm cranky everyday about 5500's. This whole new process is a nightmare and totally ridiculous!

In my opinion I think the purchase qualifies since ultimately this place will be his primary residence. The real only difference between this transaction and a regular 'home' is that he's purchasing his residence piecemeal.

Ray, my opinion is that you do not need to prepare a SAR for a terminated plan for the simple reason, as you mention, there are no add'l assets. All participants know the plan is terminated by the fact they were notified of termination plus received their account balance. The reason for filing the 5500 is to simply let the DOL know....there are no more participants/beneficiaries.

We were told that Schedule T replaces the old 21c attachment. As I recall, the 21c had a box checked off to indicate if the attachment was for a Match or P/S contribution. Theoretically, a Plan could have two 21c attachments. The instructions for the Schedule T indicate more than one Schedule may be required - however, we are unable to find where on the Schedule we mark which type of money that particular Schedule is for (Match or P/S). Anyone know the answer? Thanks in advance.

We also attended a conference and were told to leave it blank, not because DOL had an opinion either way, but because why would we want to give every participant the opportunity to call us! Works for us....

Our pension system automatically is bringing over the amount of the Plan Year contribution and earnings minus the distributions as the Plan expenses. Is this right? I can't locate any instructions for the SAR. Thanks in advance

Yes, we use Form 5500 but not 5300. Haven't yet really delved into the 5500's yet, less a few EZ's, and based on the few I've done, can't say I'm terribly excited to! My hesitation has nothing to do with Blaze, simply the whole revamping of the Form...lot of new forms, etc. Since our ISP is AOL, we weren't able to download the latest gov form update as Blaze said it's too big for AOL to download. huh? anyway, they're now sending it to us on disc. are we the only Blaze users that use AOL??

Earl, not sure of the meaning of your question on Blaze Form so here is two answers. Our office has used Blaze almost since the date of their inception, like around 1980, and that is the only program we've used. Concerning forms available in Blaze, other than the Participant Statements/valuation reports, we basically only utilize the beneficiary form provided for our DB and PS plans. Cathy

Sorry, Earl, can't help you on this one. Our office, to date anyway, does not use the unit value system. I'm hoping someone can help you as it's always nice to learn something new (although first I need to master the new 5500 preparation!).

Why not just wait until your provider's forms are approved? Assuming this is a 12/31 case, you've got until October....enjoy the great weather now!

One of our admin clients is opening a Canadian subsidiary, paying the sole employee in Canadian dollars, etc. They would like to offer him a pension plan and asked us for assistance. Does anyone know of a Canadian pension design/admin firm and/or a website where I might look further? Thank you.

sorry, Earl, we don't use the unit value system for any of our plans. good luck with the conversion. sounds grueling!

John, an update to blaze of maybe a month ago corrected that frustrating printing problem you're referring to. Drove me crazy until they got the update completed. Anyway, you're problem will be solved as soon as you get the system up to date! Yes, AARC, Choice and Advantage all have meanings to me. Do you also use any or all of these products? Cathy

what does the document say? I know ours allows to use compensation only paid during the time the plan was established.

Our fee schedule states that the basic fee includes two hours for trust accounting and if extra time is required, we will charge an hourly rate. Now, in reality, have we ever charged for it? No. However, one thing we did install two years ago was a surcharge for any census data received within 30 days of the Form 5500 preparation, including tax extensions...we tell them the charge will be either $250 or 10% of annual bill, whichever is greater. And, for those clients who are traditionally late, we've been charging them and...they've paid with no hesitation.

If adding a SHMatch account to an existing plan, if it is coded correctly, are there then three accounts shown? (401k, ERMatch and SHMatch). I did this and now only have two accounts, 'losing' the existing ERMatch as it was brought in as the PAB of the SHMatch. Is this due to an error on my part or the way the system works? If due to me, is there a way to get the Plan back to three accounts (two separate match accounts) without re-entering everything? thanks.

thanks for assuring me that I'm doing what someone else is doing....putting the failed report with the rest of their annual report. Just looks odd even though the test result states it's been corrected (using I think font size 3!)

Could someone tell me their admin procedure when a 401(k) fails the ADP - do you reduce the deferral to the amount given on the first ADP report (where it shows it fails) and then include in your report to the client the RTS report showing it failed? I just ran across I think a first for me where I noticed there continually was a reduction in the ADP (a loop)and was wondering if the loop would continue on so the ADP would never pass? Appreciate any insight into this. Thanks.