JanetM

Char, have to been on CFP site. Here is the search page for a CFP. http://www.cfp.net/search/ Another site is napfa.org Peter @ FGC are you out there? Maybe you can suggest someone to Char.

Larry, does that apply if they are not partially vested at termination and they are deemed distributed and forfieted at that time.

To be deductible in 2007 the contribution must be made by filing date of return. I non-elective they have until last day of following year.

I agree, forfeit the match there is no reporting. Assuming the plan allows for forfeitures.

Yes Denise, the guys in the hospital were talking/reciting Robert Burns the Scottish poet.

Audited financial stmts if plan audit required.

If they are not longer member of CG they will not meet the definition of "eligible employee" under the plan. Once you spin them off they will be eligible for distribution as they separated from service with the CG. Choice of vesting is up to sponsor. Unless this is small group where the 3 will trigger partial terminationa and require vesting. Of course you need legal advice if these 3 are HCEs and those remaining in plan are non HCEs. If you elect to vest them you will have to do resolution and amendment making it happen.

that would be kwa-drow, if you are hooked on phonics

One participating member of a control group becoming ineligible to participate in a plan does not normally make partial termination and 100% vesting. If the number of participants is large enough then the 3 people leaving won't trigger the partial term. If you are spinning off or selling this company you can opt to vest them. There could be issues if this is very small group or the 3 going are all HCEs

If they have already notified the MEP and they have bargained with employees nothing else needs to be done IMHO. Now they can just wait for the sticker shock to set in when they get the w/d amount from the union.

Blinky, 2010 to keep plan years clean. You don't have time (unless you super fast) to get 204h notice out. that means MPPP runs till end of 2009. If you allow loans from MPPP source you need spousal consent. Have worked with large plan venders (we have 4 plans with close to 30,000 active, DVT & retired) - 2 vendors screw it up regularly. One names starts with V the other H. Every year during the audit this loan thing is like low hanging fruit.

Plan sponsor has fiduciary duty to make the plan whole. The means getting 100% no more no less of amount back. Now is the market had gone up the fraudulent distributee could have kept the earnings and only returned the $ amount distributed. Oh, then the plan would have to make up for earnings to participant who lost out due to the transaction.

Or you could add separate K plan that has discretionary profit sharing. Next November give out the 204h notice saying the MPPP accruals go to 0 for 2010. Merge the MPPP to the K plan and preserve all the QJSA & QRPA options to MPPP. after 1/01/10 make a PS contribution that is equivelent to old MPPP contributions. Do not include MPPP funds as those eligible for loan or inservice w/d. After working with many providers, the large record keepers do a lousy job of keeping up the QJSA & QPRA requirements. One of our plans this year it was found that about 50% of loans made by recordkeeper didn't have the spousal conent.

rbk - the salary reduction form is a internal payroll form. You should be able to use the same form for all benefits, regardless of who the deductions are sent to after they are withheld. That is function of you accounting system. PD is plan doc

Disclaimer - I am not an actuary. Our company has 13 DB plans with funding rates that vary from 71% to 116%. Our actuaries have given us AFTAB certs for each plan based on funding levels for that plan alone. We are one large control group with two SLOBs if that makes any difference.

How would you do quarterly statements if they only send you data twice a year? Or are they saying the montly/quartly stmts from investment company meed the requirements?

I agree with WDIK, the assets were out of the plan when they should have been in the plan. Regardless of the direction of the market. You are required to recoup fraudulent payments. If you don't you have qualification issues. Yes you need to get back exactly what you paid out.

Aren't they out doing exit polls today?

I would expect that there are few balance forward plans left around. Call a TPA firm and ask the question "what percentage of the plans you do admin for are blance forward?". The follow on question is how many plans are trustee directed.

Be careful what you wish for........................

Give 204h notice - maybe for pension Line up annuity provider for pension Find and pay all participants who have distribution checks outstanding

Correct, the employee gave the ER a loan and the ER paid it back with interest. No EE taxes required.

That is just too cute. Thanks Boris!

You are asking for advice in a vacuum. We would need to know you age, financial situation (are you getting pension, SSA $, rental income) other assets, insurance coverage and risk aversion. You could consult a fee-only planner to review the complete picture and see if you are doing the right thing.

Regular SS statements won't work as they don't list employer just annual amounts. You can have them go to SSA and get earnings detail - will show employer, dates and amounts for each year. If these are all DVT folks weren't their benefits calculated at the time of termination? How have they set value of liability if you didn't calc a benefit?