Brian Gallagher

I haven't tried this (yet), but would there be anything on plansponsor.com?

I have a plan that requires spousal consent for distributions. Is it required for MRD's though? If so, can someone give me a cogent reason why? I understand why it is needed for regular distributions (eg: termination, in-service), but not for MRD's. To me, it is akin to an excess--not eligible for rollover--and not subject to S.C. And on another topic: MRD's and hangers on What recourse does a Plan Administrator have if a participant is not taking his/her MRD? Is there a force-out rule similar to the $5000 rule? And what if the MRD is over $5000? I hate to think that a participant's (or spouse's) recalcitrance or reluctance could jeopardize a plan's qualification. Any thoughts would be appreciated.

Were you affected by the hurricane? maybe *wink, wink* the preparer was based in north carolina *wink, wink* http://www.dol.gov/ebsa/newsroom/pr092403.html

Why not just reissue the announcement with a current date? He's got over a month to do it (ie before 12/1).

couldn't there be something written into the plan stating that x miles = y hours?

it's not deferral rate, it's contribution rate, so any match or p/s must be caounted too. n'est-ce pas?

What about a governmental 457? 457(f)? I think I got my letters mixed up.

A person was in a 457b plan then moved to a 401k with another employer. the $12k limit still applies under 402g, right?

I have a client who wants to change the plan year end from 12/30 to 12/31. For one day, do I have to: 1. Do testing for 1 day? 2. File a form 5500 for 1 day? 3. Give everyone a year of vesting for 1 day? 4. Anything else? Your thoughts, as always, are appreciated. ...bg

what about all the other people? operational failure? VCR?

the match generally just needs to be allocated by time the employer submits its tax forms for the year. The reason the dol wants the deferals in the plan so soon, is that it is the employees' money and the dol doesn't want it un-invested and in the eployers hands for that long.

the 3% SH non-elective would be capped at $6000.00, n'est-ce pas? $200,000 X .03.

Geez g8r! Burning the midnight oil? 12:02 AM Saturday. Wow!

thanks. perfect!

is there any place that defines a mistake of fact? all i have is an old, photocopied document that discusses mof's. it's from '95 and has a copyright of "Pension Plan Fix-It Handbook" by thompson publishing. it has sections like: "mistake of law is not a mistake of fact" "a change in facts is not a mof" "a mof is not a 'screw up'" "a mistake of fact generally occurs where one, in good faith, understands the facts to be other than what they are" we rely on these four bullets all the time. is there any place in the code or regs or elsewhere that further defines a mof? (sorry about the e.e. cummings bent to the post (all lower case), but i'm lazy today)

The mantra at our office: "Mistakes" are not "Mistakes of Fact". What facts were mistaken? A good example of a mistake of fact: A person is hired and shows documentation that she is 22 yrs old. She starts deferring immediately. It turns out later that she really is 19. Mistake of Fact may be used, because the Plan actually thought the facts in the case were actually other than they really were. There was no error, just a mistake of the facts. If the payroll dept erred in entering her birthday three years earlier, then it's an error, not a mistake of fact--the plan knew she was 19.

Here's an example (I think I posted it on another board, but here it is again). It's a bit silly, but not out of the real of possibility: I borrow $10,000 from my 401(k) Plan. I take the check, cash it at the bank and get 100 $100 bills. I bring them home and spread them across the table. I just want to see what $10,000 in cash looks like. (I don't know about you guys, but I never had the opportunity to hold 10 large in my hands). The next day, I deposit the money into my bank account. The day after that I write a check back to the 401k plan for $10,000 (plus a little interest. I haven't paid tax on anything other than the interest. How can I be taxed twice then?

We are in the midst of preparing a quarterly information bulletin for our participants. One of the subjects is that loans are not a good idea. However, one of the reasons they give is that the loan is taxed twice. It's not. My marketing group doesn't believe me. Maybe they'd believe someone else.

I know this has been beaten to death, but I have someone here who insists that loans are taxed twice (I know they're not). Can anyone give me a link to a thread with good examples that they are not. For some reason my salient points are not getting through to this person. Much obliged...

Did you check the plan documents? Most give deails on the distribution of funds by money source and, how, within each source, how the funds will be liquidated.

You could always do the enhanced match, which can't go above 100% of the first 6%. So that should fit very well in your plan. There is no need to make any part of it discretionary. Will the doctors be receptive to the 100% vesting provision?

Prudential probably accept the check back and re-process the distribution according to your instructions. They do it all the time. (not every time, but most times)

Just a thought on rolling over just the amount you received: I'm guessing the check was for about $36k ($45k X .2 = 9K) You would rollover $36k, have $9k in includable income, with $9k of that withheld aready. If you are in the 35% tax bracket, your tax burden is $3150 which gives you a net refund of $5850. Not the idea situation, but that is how it would generally work out.

As for the "the contribution being made", doesn't the "mailbox rule" apply? The chack has to be "in the mail" by Sept 15th? (assuming of course the extension)

I thought that the P/S money just had to be segregated from the company's general assets by the tax filing date, but not necessarily allocated to the participant accounts. In other words, the check has to be cut and entered into the accounting ledger so in thoery, the company doesn't have access to that money any more. Am I way off base?