JanetM

H2A is for agricultural workers. Not sure that makes any difference. I thought if they had US source income there is 30% statutory withholding. Since I am not payroll pro - really don't know. Would seem that given visa to work in US - they have US source income I don't see how you would exclude them.

One option is to spin-off the division being sold into separate plan and include language in purchase agreement to merge new plan into buyers plan. Another option is to give the employees the right to take a distribution or rollover into buyers plan or IRA. At the discussion stage you have many options - discuss with competent advisors. Good luck!

Not a lot = $500. The purchase agreement for Company A states we assume only the assets and liablilities listed on balance sheet at date of close. Since this was not listed we do not "own" it. The controller at Company A worked for Company X and was the one who did all the work on terminating the plans. He said all the records for the term went with Company X. He recalls that the annuity purchase was in the name of Company X. Could make the arguement that the annuity contracts are owned by A, B and C.

Checks are made out to "Company A Salaried EE's Retirement Plan" and "Company B Salaried EE's Retirement Plan". Company X was sponsor of A, B and C plans. These plans termed in 1978. Company X sold B and C to other companies. We acquired assets of A in 1983. Employees were hired by us at that time as new employees. We assumed assets and liabilities as of balance sheet closing date. As this was something not on balance sheet I don't see how Company A can be left as successor of A, B and C plans. My company wants nothing to do with this. The family that owned X is long gone - this is not a large sum of money. But potenetially a big head ache - you should know Company B did heavy industrial manufacturing with chemicals and other carcinogenic materials.

First I should state this is the first time we have received money form Principal. Controller at Company A has been with companys since we acquired then in 1983- he recalls no paperwork on demutualization or any correspondece regarding this. Company X terminated the plans. They purchased annuities (not sure what kind) took reversion of assets and then sold off all the subsidiaries and disolved. Comapny A retains the same name as the division it was under Company X - other than that there is no relation. How can Company A be successor when there were two other plans - of separate sub's involved in this whole mess. Company A does not want to be successor to Company X plans. Why didn't Principal just keep the dividends in the contract? Why send check out of the blue like this?

This is Principal - who acquried Bankers Life - they are not mutual company. This is first check for dividends ever received. GC here says based on agreement when we bought Company A assets- we did not assume any pension asset or liability from seller, therefore we intend to send checks back to Principal and tell them we have nothing to do with plans. Opinion here is if we keep the checks - we assume liability in future for two plans that have no relation to company. One check of for termed plan of company that was acquired by competitor in 1979.

Did search and found nothing like this. Company X had three DB plans for three subsidaries in late 70's. All plans were terminated and annuities purchased. Company X sold all three companies shortly thereafter and ceased operations. Now Company A, wholly owned by my company, is recieving dividend checks for Company A plan (termed in '78) and Company B plan (plan termed '78 & company sold '79). Where do I start sorting out who is to receive checks. No EIN listed for receipient. Does the type of annuity purchased in '78 make a difference in who received dividends? Help - not even sure where to start research.

Contact the HR department or Plan Administrator to get a copy of the summary plan description. This will explain all the forms of distributions and the requirements for each.

Depending on the size of the company - she may be eligible for COBRA coverage. That is required by law. Find a copy of the Summay plan description and read it.

We file one 5500 - parent company sponsors plan and all subsidaries have adopted as participating employers. Do this with 401(k) and separate profit sharing plan.

You could point out that the employer has a period of time after the close of the plan year to make the contribution into the plan. Using common sense (which is not very common) it should be inferred that if you can wait months after the end of the year - it can not be mandated to match on pay period basis. IRC 404(a)(6) Time when contributions deemed made.--For purposes of paragraphs (1), (2), and (3), a taxpayer shall be deemed to have made a payment on the last day of the preceding taxable year if the payment is on account of such taxable year and is made not later than the time prescribed by law for filing the return for such taxable year (including extensions thereof).

Will depend on the plan. Our DC plans require the participant exhaust the loan provision and all other available avenues of funds. Of course we take the available avenues question at what the participant says. The loan provision is carved in stone. What does the plan say?

We have the trustee who issues the checks compare our database of pensioners to the SS death index listing. We get list every quarter of those in our database who are deceased.

Would this not be covered by new loan rules. If STD or LTD is qualified leave of absence you can suspend payments for one year.

Rae - Can't you escheat to the state of last residence?

We are seriously considering the 3% safe harbor design for 2003. Does anyone know of any survey or statistical data indicating the effect this has on participation. Current design includes match of 25% on first 6% - that will continue.

HELP! How would you fix the following. Welfare plan adopted in 1980 for group of union employees (under 100). Had trust that paid claims - so it was self-funded. 1996 the plan opted to start buying insurance rather than pay claims. Now benefits are fully provided by insurance. Trust is still there and growing. Employer contributions are more that the insurance premiums. Plan has never been amended, Plan has never filed 5500, Plan did not file to be VEBA. Any suggestions?

Our folks with this problem are from KY and WV. We also have had this come up with about 6 counties in KY and GA who suffered fires and records for 1920 to 1940 were destroyed. We do the best we can to document - must be creative.

We have used school records and church records. One person sent for copy of the SSN application and we used that along with drivers license.

Glad to hear you are free - would not be the same each day with out benefitslink! Keep up the good work!

Dave, I have been called three times, each time I was dismissed when I told them my father is a retired Chief of Police. I say " put them all in jail and let them rot". Worked for me.

Could it be that the loan has passed the cure period? That the prior plan sponsor does not want to mess around with taking the repayment because they never had any after tax money? Just wondering????

I suppose I can start by saying - the situation has never come up. The few we have had - the AP left first. Each was case of young admin asst and older exec getting married. I suppose when the issue comes up I will call atty and see what we have to do.

We have a different twist on our QDRO policy. We view the AP as an ordinary participant. If they do not work for us at the time of the QDRO - they are eligible for distribution as if they were terminated participant. If they work for us - they have not experienced a distributable event and can not take the funds out of the plan. We have had many QDRO's in the recent past that dealt with married employees and our ERISA atty's agreed this was a safe avenue to follow.

Know the thread was here but can't find it. Can anyone confirm or correct me on the following: safe harbor plan with the sh match. Union ee's disaggregated so you do not have to give sh match to them. non union ee's get the sh match. safe harbor plan with 3% non-elective contribution would go to all the union and non-union staff. right?