ratherbereading

Thank you Paul. They were coded as M on the 1099s. The loans were excluded from the assets, both on the 5500 and on their yearly valuation. Yes, the loans were treated as loans earmarked from the participants' accounts.

As David said in so many words, look up the obituary!

Plan is a 401k PSP pooled account. The trustee and her spoiuse both took out 2 loans a piece and defaulted on both of them. One in 2022 and one in 2023. Their CPA issued the appropriate 1099s. There is a zero balance showing for their loans. They want to pay the balances off. Can they do that? Plan doc says the following: TYIA!

Ah. Good idea. This is what it says - but still not clear if ALL EEs get it or just the non-excludables.

12/31/2024 plan and it failed the ADP test. The test (current year) was split into excludables and non-excludables and the non-excludable test failed. Client wants to go with the QNEC. Basic question I know, but I have never had a client choose this route. How do I calculate the $10,000 plus QNEC? Based on compensation for the plan year? Also, does it go to all eligibles or just the people on the failed non-excudable test? TYIA!

Girls will be boys and boys will be girls It's a mixed up, muddled up, shook up world... The Kinks, 1970

Thank you, Lois!!

This is a new one for me. Discretionary PS with permitted disparity allocation formula using $22,900 as integration level. How do the Max Disparity Rates come into play, e.g., 5.7%, 5.4%, etc.? TYIA.

Agree, no RMD.

Rather than spend an entire day putting different contribution scenarios into a recordkeeping system (e.g. Relius, etc.) to get this test to pass does anyone have a spreadsheet with the testing formulas built in they can share that is set up to plug in compensation, contributions to come up with a pass/fail? TYIA!

Lol, yep!

Oy! My head hurts!

What Lou most excellently said.

You are correct for a distribution from a defined contribution plan. You don't need to withhold on distributions <$200.00.

I think you are asking if LTPT employees are excluded in your Untion ADP test. I believe they can be excluded but someone else can jump in here with a more indepth response.

We are a TPA & have counsel in house who are working on the correction. I was looking specifically for replies to my 5500 question but thank you!

Yes partly - and no not offerting in plan Roth Rollovers. I also have had 0 clients wanting to add their er contr. as Roth.

We are strongly discouraging our clients from adopting that measure.

Hello. Participant signed up to defer (403(b) Plan) in June 2022. Her choice was never implemented. This was discovered during the 2023 plan audit (large plan). Participant never noticed. She is going to start deferring this month. Client never noticed either. I am working on the correction now, but the auditor says the amount of her missed deferrals has to go on Schedule H line 4a. I'm not convinced as the they were never withheld by the employer for contribution to the plan so not technically late. Thoughts? TYIA!

Generally they must be used by the end of the plan year in which they occur or the end of the plan year following the year in whch they occur. They must be used up each year and cannot accumulate. The timing is specified in the legal plan document so I would check that for more information! Not using the forfeitures by the applicabl deadline is considered an operational failure.

Welcome! This was my only experience with TIAA and they did not provide any statement (to me at least), nor did I ask for one.

Basically the same issue -- here is the response I received from someone on this board - I cannot remember who though so I cannot give credit:

Owner died last week. 2024 RMD has to be processed to his wife (not his first RMD). Can she request the entire amount, $55,000 plus, be withheld as taxes? TYIA.

If they are not >5% owners they are not consdidered HCEs based on the salaries you mention. The officer test only applies to determining who is a key employee.

https://wrangle5500.com/2022s-natural-disasters-and-resulting-extensions-to-date-copy/