JanetM

We are having a little tiff with our auditors. What is the impact to the plan and/or plan sponsor if the audit has a qualifed or adverse opinion. I really have to wonder since this is limited scope audit and they really aren't giving an opinion in the true sense of the word. Does anyone have any experience with this sort of thing?

GBurns is correct but something else to consider, does she have vacation or anyother time that could be taken to extend her employment?

WDIK is correct, we have a plan numbered 333. Not sure about the H&W plans. Like the 666 idea as those plans are a pain.

At first it looked like DB or cash balance plan until they got to the line about eliminating over or underfunding. Am wondering if it is some kind of DB/DC combo. Looks too good to be true.

You will have to use your prior year schedule I data, with a bit more information to complete the H this year. The data on the H should match the data in the financial statements. I am getting impression the auditor is new to benefit plan audits from your post.

99,450 and counting. RButler you are slacking.

I will still vote for 10/11 - on columbus day Maybe R Butler will stay up all night posting each thread with a "yes, I agree totally" message and we will be there by tomorrow.

99,343 and counting.

Am not an actuary ( CPA, MBA which some may say is worse) but will chime in anyway. I will guess the magical day will be 10/11. Columbus Day it will be.

AndyH, The plan only covers union non HCE. But now that I go back and look it is consecutive years.

Couldn't you just amend to use the highest three year average during last 10 year period? That would keep the highest comp and not consider the part time years. We actually use the average of the highest three during the last five for one of our plans. The years don't have to be consecutive.

Since this person has not had event to trigger distribution. How can you move their funds. The union plan sits and the guy most likely gets new status of transferred. Guy now will participate in non-union plan. Check the documents. They will tell you, but be wary of just having his money follow him around the plant.

That would be "pension weenie" or "ERISA geek" to you......

No there is not. You could have amended the plan to be multiple employer plan for short period of time. That way the new owner could have opted to participate in the plan until they set up their own.

There isn't code to show if it is individually designed. There is code to show prototype but I think the reason behind that was prototype plans don't usually get determination letter for themselves. They use the one the prototype provider received. This, IMHO, goes back to old form when there was line to indicated date of last determination letter. Since they don't ask for the date anymore I suppose they use it when reviewing or auditing.

Am having difficulty understand the issue. How do you know if early retirement benefit and lump sum are "subsidized" or not? Have been asked many questions regarding this and honestly don't understand it myself. Can someone give me an explanation and example?

Am confused, if HCE took hardship his deferrals should have stopped. Only if hardship was taken late in year does this make sense. Without doing detailed research, I would take the deferrals to zero balance and 1099 would be for amount available to correct test. Just a gut reaction.

If you can possible get the old data and recreate I would. Had to do that a couple of time when I was TPA. The burning question I have is on the DB $$, was that voluntary rollover to plan? If so it doesn't keep any special J&S features. If it was due to plan merger it should have kept all J&S features. This is messy situation. Wonder why participant (CEO) didn't say anything. That my prevent company from getting some kind of fee back from prior TPA.

I would talk to CPA firms and Attys in the area. They will have some insight into who does good and bad job. Really, the CPAs and Attys are usually the one cleaning up the messes left by bad TPAs.

This is facts and circumstances issue. But IRS has ruled in some cases and the courts have ruled in some cases. Weil v. Terson was deemed partial termination and only affected 27%. If I were you I would vest all 100%.

Not if participants are rolling over from DB plan and they get the spousal waiver to take lump sum. If this is plan merger then the J&S still applys to the benefit.

Kirk, you got it right. No one else in my office belongs but couple of atty friends in Cincinnati are members.

Sheila, I have read conflicting articles regarding this. Some say more productivity when casual is dress code and others say productivity increased when formal dress code is added. I don't agree with most of them, I think the productivity will depend on the business, work environment, and individuals involved. My disclaimer - I am a card carrying member of AANR.

The cash and loan are both assets. Since the participant rolled "all" assets into new plan just use the G code. No need to prepare two 1099's.

as bonus is w-2 comp it should have been included in income eligible to defer.