RatherBeGolfing

Congrats @Belgarath!!! You are coming back to discuss SECURE 3.0 with us just for fun though, right? Right? Bueller???

Happy Thanksgiving everyone! I hope you all get to enjoy time with family, a good meal, and of course, some football! I'm not working tomorrow, but we have a lot of people out on Friday so that is my day to catch up on stuff without too much interruption.

In addition to what @Paul I said, I don't think the provider has to be local unless you actually require local services. Data security should be at the top of the list for your provider requirements. Its a plus if they have other TPA clients and understand industry needs. For example, what type of support they provide outside of standard hours, and how could this impact you during busy season / filing deadlines.

@S Derrin Watson, you have been a trusted advisor, teacher, lecturer, and author for my entire career in the industry. I can easily say that you, @Ilene Ferenczy, and Sal have shaped me into the practitioner I am today. I wish you the best as you start this new chapter of your life!

We see this way too often, and have started defaulting to completing the work for the client unless the prior provider affirm that they will do it and provide a timeline for the work so that we can make sure it gets done. No matter who is responsible, the client wont be happy when they have to pay penalties a year or two later. It takes more time to do damage control, so we have opted to do it during the takeover. About 30-40% of our takeovers come from MEP/PEP providers, and they are usually the better ones to work with (with some notable exceptions) As for recourse, there is no easy answer. Is there a service agreement? What is in the service agreement? Does it spell out the responsibilities of each party? Does it detail the fees, how it will be billed, and what happens when services are terminated? Unless your takeovers come from pretty much the same place, every situation is going to be different. Are you having a hard time getting information from prior providers? We have noticed that there are a few big providers (who will remain nameless) that are getting more and more difficult to work with during the takeover process.

Changes are unlikely. We got the new limits late, there is really no time for changes. The statute is unclear, so the IRS decision to keep it at $11,250 is a reasonable interpretation. More likely outcome is that clarification is sought over the next year so that we can have confidence in the COLA next year.

IRS has confirmed it is staying at $11,250...

Same. We are doing more and more elapsed time to get away from LTPTE issues. We also have more employers with little to no service requirements. This isn't as cost-prohibitive as it once was with the new participant count methodology, top-heavy relief, affordable MEP/PEP solutions, etc. FWIW, I think the days of excluding employees from plans are numbered. Our legislators and regulators will continue to close the retirement plan coverage gap, which means that our plans will need to be more inclusive.

$12,000 is what seems logical, but... The plain language of 414(v)(2)(E)(i)(II) says 150% of the amount in effect for 2024, which would be $11,250.

Sure they can. They know how many returns you have filed. DOL is getting pretty good at data mining and analysis. Just like late or missing returns, it is only a matter of time before they start enforcing electronic filing mandates. We file all EZ electronically.

Are you talking about filing an amended 2023 return before they fix the errors they are now aware of? They would be knowingly filing with incorrect information, or am I missing something?

🤣🤣🤣 Thanks I needed that today!

Artie, thanks for the correction!

It requires a common paymaster scenario, so I assume the good reason would be that you can just use the issued W-2 rather than breaking out how much each entity is actually responsible for.

You are correct.