stevena

Actually, in our cases, we have "Qualified Katrina Distribution" written all over the distribution forms in big letters. And no box is checked. The fund group is telling us that they have to withhold the 20%. They are wrong, arent they?? My participants do not want withholding.

Could someone clarify whether it is required that we withhold the 20% for Katrina distributions? These are being processed as terminations, becasue the company is shutting down. They aren't hardships. What I am using came from ASPPA, and is below. But, I have heard conflicting opinions.... Thanks! "If an individual receives a qualified Hurricane Katrina distribution in 2005, that amount is included in income, generally ratably over the year of the distribution and the following two years, but is not subject to the 10-percent additional tax on early distributions. If, in 2007 the amount of the qualified Hurricane Katrina distribution is recontributed to an eligible retirement plan, the individual may file an amended return (or returns) to claim a refund of the tax attributable to the amount of the distribution previously included in income. Under the new law, these qualified Hurricane Katrina distributions are not subject to the mandatory 20-percent withholding."

Thanks so much. I am a little concerned that we are not doing everything we are supposed to, and the SEC attorney isnt really a "plan" guy, so I am trying my best to wade through this. When I finally find something I think we might have to file, I cant even figure out what the directions on the form mean. I cant tell what this s8 is, when it has to be filed....its so above my head. But at least I can bring it up. Thanks so much

Kirk or anyone, I know this is an old post, but could you clarify something for me. I have a plan with 100+ lives now purchasing employer stock with ee deferrals. They have an SEC attorney. Plan is filing form 11k at the end of the year, and is filing form 4 with the SEC each time an officer purchases the stock (each payroll). Is there a requirement for filing form S-8 as well? thanks so much

Yikes, I looked at HotDocs and it looks so complicated! I cant even figure out what it does....I downloaded the trial but I dont exactly know what to do with it... I get that it could accomplish what we want... Do you know....could it also create forms that our clients could fill out? Would it create a form that we could email our clients, and they would enter info into fields, tabbing from one to the next, and maybe checking off yes or no buttons? I am thinking if we could use this to create our annual questionnaire that we send out to clients, but also use it to create our year end letters, it would be so cool. Do you have any idea what it costs initally? Is it available on a network or is installed into each persons computer? thanks

We are a small TPA firm. When we put together our annual reports, we always have a lengthy cover letter which has on it pertinent info about the plan that year. Basically it says you are/are not top heavy this year and next, the 5500 is/is not enclosed (will be sent later), your plan did/did not pass testing, you do/do not have anyone who is 70 1/2 next year, etc....and there is standard language that goes along with each of those answers. it is pretty time consuming to type all this out every year. We do save the prior year, but plans change, add stuff on, take stuff out, etc.....it is still time consuming. I was wondering if anyone knew of a program, that works like this: you would go through a checklist and check off populated questions (like those above) and it would automatically create a letter from the options you chose. Anyone know of a good option? Thanks!

Yes, the state of NC has an anti garnishment law. I am wondering if anyone knows the answer to whether employees who have ALREADY signed enrollment forms with 0% election may subsequently be autoenrolled if the plan is amended for autoenrollment (with the proper notice given to the employee.) The ERISA outline books says yes, but other things I have read online say no. I also found one source that says the plan must be amended to allow for deferral changes "at any time", (rather than quarterly, etc.)...but other things I have read say that the plan just has to allow for deferral changes yearly, even after amending to allow for auto enrollment. This seems to be a very current topic, so I am not sure what if any answers have been finalized. But I want to give the employer all the info I can find. Thanks for any input!

I just found it, thank you anyway! I am writing up some slides for a presentation on Friday. Postitives and Negatives, things to think about/decide, implementation, etc. if anyone has any thoughtsI would love to hear them.

anyone know where I can find whether state wage law would allow automatic (negative) enrollment? specifically looking for NC thanks!

thanks for your help

do you think they can kick people out who are not deferring 5%? (again, I know the logic of this makes no sense at all) thanks for your thoughts

Can an employer amend his plan to say that the "minimum deferral percentage of pay is 5%"??? right now no limits (dont ask the logic.........)

I have a client that I have been trying desperately to get census for 2004 to do his 5500. He had a new plan effective 10/1/04. It was a SH plan with the SH match. Employees all filled out enrollment forms, the plan was set up at the mutual fund company, and the safe harbor notice was handed out. Here's the problem...he never started the deferrals (thus the lack of census!). I am not sure why, but it seems he just didnt get around to it. Actually, he is just now getting around to having the deferrals taken out of employees checks (October 2005!). I think I should get new election forms signed, but I have no clue how to handle 2004? I have never run into this, looking for advice?? thanks!

I have a plan where an ineligible employee contributed ee deferrals. We are forfeiting the account balance, and the employer is repaying the salary deferrals to the employee through payroll with corporate funds. My question is, do I still include the 2004 deferral amount in my ADP test? I am thinking yes, but I dont know why I am thinking that. I did a search but everything I found dealt with how to return the deferrals, I cant find any discussion about the testing. Thanks

I just got here to Carolina from Boston. Love it in the South. And am much warmer.

could be, that photo gives me the creeps every time i look at it. I just needed a question answered about the Capitol Hill visit, it was nothing exciting. I had volunteered to help with something, and then the volunteer coordinator lost my phone number, etc. etc. very boring. And it seemed so simple but I kept getting transferred all over the place for days. I love doing the Capitol visits, I think it is so exciting to be inside those buildings, watching all the action. I loved just walking down the halls, it was so cool. I know, I am a total dork. Lisa

I appreciate, I envy, I am humbled by...... I just cannot afford.....

Actually I got my answer yesterday. I had been transferred around for days... Thanks for answering. (could be, if your photo is any indication, I hate to tell you this but.....)

me too. I was hoping maybe a board member, or committee member.???

edited

thanks....i looked on the website. how about a suggestion for somewhere i can look for free??? thanks for the suggestion.

The plan is only just now deciding that they want to add employer stock as an option. There is an SEC attorney they have just hired, as well as a bank attorney. I am sitting in on the conference call at the end of the week. I just wanted some background so that I have some kind of familiarity with what the SEC attorney is saying, thats all. So I would not be completely unfamiliar with what he is saying. Could you refer me somewhere that I could research the requirements for a plan with ER stock? (I am looking for participant disclosure requirements as well as filing requirements). This is a really small plan, just now hitting 100 eligible participants. So I am not sure if all the filing requirements apply. I have been searching the web all week, but I cant find anything. Some articles about how profit sharing plans do not have to limit employer stock to 10%, some articles about how it is a horrible idea to have er stock in a plan, thats about all I can find. I would appreciate any input. Thanks.

I wasnt clear enough I guess. We are a TPA, this is a clean plan already, we are taking it over. I am sure they file everything they are supposed to. However, I have never worked on a plan with employer stock. there is a SEC attorney involved already, and a CPA firm for the audit. (we have a meeting with him next week) I am just trying to learn about the requirements for this type of plan. Just for my own knowledge. thanks!

What is form 11 K and do all plans with employer stock have to file it with the SEC? I did a search on benefitslink as well as the SEC, but cannot find explicit instructions as to whether all plans need to file it annually. My plan is a 401(k) with employer stock offered to employees through all sources (through deferrals and match) thanks!

thanks, I read a bunch, I think honestly I dont know enough details about the merger, and that is why I am confused about it. I am going back for more info, then will attack the ERISA outline book thanks!~