ratherbereading

To file electronically, you have to have software or a service provider that will create the file in the proper format. They may be better off finding a TPA to do this for them.

I think they need a bond. Here's a good article on the subject...http://www.401khelpcenter.com/401k/kalish_erisa_bond.html#.Wru_omc5CUk

Also here: Search for "Spouse" https://www.dol.gov/agencies/ebsa/about-ebsa/our-activities/resource-center/faqs/retirement-plans-and-erisa-consumer In most 401(k) plans and other defined contribution plans, the plan is written so different protections apply for surviving spouses. In general, in most defined contribution plans, if you should die before you receive your benefits, your surviving spouse will automatically receive them. If you wish to select a different beneficiary, your spouse must consent by signing a waiver, witnessed by a notary or plan representative.

If you are married, federal law says your spouse is automatically the beneficiary of a 401k or other pension plan. If you want to name a beneficiary who is someone other than your spouse, your spouse must sign a waiver.

The refunds have to be processed from the investment house prior to 2 1/2 months after the end of the plan year. So for a 11/30 plan refunds should be processed a few days before 2/14 to be safe. The plan cannot write checks for the refunds.

Fortunately, he finally responded and has been taken care of!

We are only allowed to use the DOL calculator if the plan goes through VFCP. Is that how other TPAs function?

This participant is not deceased. Nor is he missing. He just doesn't want to respond; however, the SPD says that if a participant does not answer within a reasonable time, the Plan can pay him out in a cash distribution. That's what I will do. Thanks again, everyone!

Thanks everyone!!

One of my 401k Profit Sharing Plans terminated as of 2/1/2018. There is a terminated participant with a large balance who refuses to send his distribution paperwork back despite numerous follow-ups. Technically, the plan has 1 year to liquidate their assets, but they want to wrap this up. I can't cash him out and the plan doesn't have an auto rollover option. His balance is too big for that anyway. Anyone else have this issues and how did you deal with it? Thanks!

If the plan allows for loans, it's legal. Most of our plans only allow for one loan at a time, however.

jpod, yes the new entity has a different EIN and the plan was restated to reflect the change prior to the end of 2017. I meant to say they went from LLP to a PC.

I have a plan that during 2017 had 2 partners. One partner retired midyear. The plan then went from being an LLC to a PC. The remaining partner received a Schedule K1 and a W2 for 2017. Not sure if I should combine the 2 for the SH calculation, or just use his W2. The retired partner is just getting a K1. Thanks in advance!

Wow! Kudos to your company. I didn't know companies even had this benefit anymore.

Yes, we received the FIS Relius amendment today!

Sammiemor, I have a checklist we use at our TPA but it involves more than testing. If you want it please send your email address and I will be glad to share...

Yes to all the above. Companies have until their federal income tax due date (including extension) to deposit profit sharing/safe harbor contributions/discretionary matching contributions into your account.

If the plan document defines wages as W2 wages, I say no. I don't think it makes a difference that they happen to be employed there for their day jobs as well. If it were outside cleaning people that they were paying on 1099s they would definitely not be included in the plan.

All our plans, safe harbor or not, require a 6 month suspension.

My personal favorite from President Reagan... “The trouble with our liberal friends is not that they’re ignorant: It’s just that they know so much that isn’t so.”

The remaining partner

Thanks!!

A CPA firm went from being a PC to being an LLP during 2017. One partner bought out the other partner and the partner who was bought out has retired. The remaining partner received compensation that will be on a W2 for 2017 for him, but also had some income on a K1. I thought I read somewhere that in this case only the W2 compensation is used for testing, employer contribution calculations, etc., but now can't find anything on it. Is that true? Thanks!

I agree that he can't have a loan for 30 years, or a hardship based on your scenario.

Sorry, that's all I've got...