Bri

It took about six weeks last fall, AND since this was a prior plan that never had done the determination filing, we were able to get a few years of past premiums refunded. Of course the plan terminated a few weeks ago and the whole point of the coverage request was to say, "Wait, is the PBGC really supposed to be involved here?" and luckily no year's DB/DC combo amounts exceeded 31%, either.

I've done a coverage determination for a small pharmacy - they asked for an approximate revenue breakdown between health and non-health (lottery tickets, etc) revenue. About 95% was health-based, and the PBGC said they were exempt.

It's like a collectible!

even though it's also been reported on the W-2? (I'm voting for 120K)

I used to use Crystal to merge the John Hancock year-end import files into a spreadsheet format, so yes it works with common data structures. Basically setting the database to be a text file rather than the Oracle. I miss Pentabs.

Pam, do you know anything into how Relius's DB functionality will continue beyond this transition?

yeah, they let you now.....well, depending on what you're doing! (hence my reference to 4% as the safe harbor nonelective, rather than 3%)

Iffy's not the word. But why not adopt a 4% SH at this point for last year?

Medicare wages don't typically include Section 125 deferrals, so you might find that your proper pay number isn't actually found on the W-2 itself, even if your plan uses "W-2 wages" with deferrals grossed back in.

CBZ nails it. Plus hey, if an employer "matches" an employee's loan payment, that's just called, making extra loan payments.....on occasion even also described as "being a nice boss!"

Does everyone "really" treat SDBAs as true daily val where required, or are TPAs just pro-rating a year's worth of gains among the sources based on some prior balance? I've seen way too many plans run allocate earnings like mini "pooled accounting" setups for each employee, where the receivable is just the beginning balance for the next year with earnings not truly determined at each transaction's source's level.... I mean, I've seen it done properly, but I've also had to suggest the plan documents not indicate daily valuation, because it's 10x the work to do it properly "from scratch".

As long as Company A employees are made ineligible, to prevent any new benefits from arising for them, their assets should be allowed to linger behind (as a bunch of ex-employees from the ongoing plan sponsors, right?) until the spinoff is executed.

Is a real estate company a service organization for these purposes?

Sounds right to me...Even 20 wouldn't work because 5.00 is not greater than 5

Depending on how many HCEs are members of the union, maybe this becomes something to negotiate for....

I would guess that unless the amendment specifies it, you start with your BOY balance 1/1/24 and start that at 6% along with new contributions, but you don't then retroactively increase the priors. Whether the prior benefits stay with a 5% ICR is going to be indicated in the amendment.

404(c) means they have to be able to transfer investments at least quarterly, but the deferral rate isn't tied to that.

Sounds like what you only need is signed deferral elections for the owners indicating $0.

I agree with Lou - I hadn't noticed we were outside the SCP window.

They might want to get a separate EIN for their distribution processing group.

yeah, the plan is compliant and the recordkeeper makes the bucks.

Devil's advocate - What if the error had been a million dollars? (Wrong omnibus account number on the transmittal to the custodian or something)

That feels like chopping off your nose to spite your face - have him put it back in a Roth IRA? (Put the plan back in the position it would have been if the error hadn't happened.)

The problem is that if he asked for a full distribution, that should include the loan as of that date, not when it would have gone into default, like if he'd only asked for a partial withdrawal of his vested benefit.

Won't the annual additions deadline still matter?