David

I have a plan with a basic safe harbor match. The plan sponsor also does NEC PS contributions. The plan document is a VS doc from a major vendor. The plan is TH.This is a DB/DC combination so the TH minimum is 5%. Can the SH Match be used towards satisfying the 5% TH minimum contribution?

That's a good point about splitting it, and I don't know the answer off the top of my head, but it sounds right to me, however, in my case my software vendor is using full disparity in both EBARS so it seems that we agree that is not correct.

I have to file an amended Form 5500 for 2007 and 2008 for a calendar year plan. Can I mail them?

Thanks!

In testing a DB/DC combination my understanding is that imputing permitted disparity can be included in the DB EBAR or the DC EBAR, but not in both, is that correct?

I have a calendar year DB plan with a BOY val date. I just want to check to see if this is correct: 2008 val asset method = market 2009 val asset method = average (no IRS approval required) 2010 val can switch back to market without IRS approval. Is that correct?

The plan sponsor of a frozen PBGC covered DB plan called and wants to terminate the plan. They are not going to file with the IRS. Since the plan was long ago frozen for all benefits and participation I don't think there is a 204(h) notice required (please correct me if I'm wrong). There is the PBGC Notice of Intent to Terminate required between 60 and 90 days before the Proposed Termination Date. I seem to recall the Proposed Termination Date for PBGC purposes does not have to be the same date as the actual plan termination date on the board resolution to terminate the plan. Is that correct? It would be nice to use an actual plan termination date of 12/31/08 to save the sponsor the need for a 2009 actuarial valuation and then use some later date as the PBGC Proposed Termination Date in order to get the NOIT issued in a timely manner. Problems?

I was thinking that the plan would be under 60% until the 2009 certification is done. Let's see what others say.

Would a frozen cash balance plan have a normal cost attributable to the interest credit?

Andy, It will still be a 2004 contribution, it will just be deducted on the 2005 tax return.

Thanks for your help Mbozek. Just to make sure I understand, are you saying that the 1/05 contribution will count against the 2005 25% of pay 404 limit? In other words, if 25% of pay is $45,000, the contribution for the 2005 plan year would be limited to $35,000 because we are also deducting (on the 2005 tax return) the $10,000 2004 contribution made Jan. 2005 and not deducted on the 2004 tax return?

Client deposited $10,000 PS contribution in Jan. 2005 for the 12/31/04 ye. Some of that contribution was necessary to provide the NHCE's with the 3% SH contrib the plan calls for. The CPA forgot to deduct the 10,000 on the 2004 tax return. Client says that amending the 2004 tax filing is very complicated because of shareholder K-1's etc. so that is not an option. Can the 10,000 be credited to the 2004 plan year to meet SH requirements but deducted in the 2005 plan year??? I am thinking that the 10,000 would count towards the 2005 404 limit unless there is a way to carryover a prior year contribution that was deductible but not deducted? (As opposed to carrying over an non-deductible amount.) I would really appreciate some input on the way to handle this situation. Thanks.

That's weird because I didn't have any pay entered either. Oh well, as long as it's working for you now.

I could not duplicate the problem. I was thinking that if the AB and V% are showing up on the Schedule, then the problem may be in how you have coded the Plan Level screens rather than the Employee Level screens. If it was me, I would call Datair and ask for tech support on the DB system. They are very helpful. Good luck.

For status code "D" participants, do the Accrued Benefit and the Vesting % show up correctly on the Schedule of Benefits but the PVAB is $0, or are all the entries $0?