RatherBeGolfing

Same 5500 manual @Belgarath, I have the 2014 authored by Janice and the 2023 by Protos on my bookshelf.

This is a great product. I highly recommend it. It goes line by line and includes commentary and practitioner notes.

Agreed, due date is absolutely last day of the 7th month following PYE (later if extended), but as @Paul I pointed out, if you put an earlier date on the 5558, that is your due date unless you file an updated 5558. Say what you will about IRS rules, but they do not create 365 potential due dates.

The change is how you count participants for the audit threshold. You now count participants with a balance. Eligible participants without a balance are still participants, you just get to exclude them for purposes of determining whether the plan needs an audit.

2023 Form 5500 Lines 5a and 5b should report all ELIGIBLE PARTICIPANTS, even without a balance. Participants with a balance at BOY and EOY are reported on lines 5c(1) and 5c(2). So if you had 50 eligible participants at EOY 2022, you report 50 participants at BOY 2023 in 5a (unless you have a new entry at BOY). 5c on the 2022 Form 5500 had participants with a balance at EOY, that is your number to use for 5c(1) on the 2023 Form 5500.

Yes, if its a calendar year plan. Isnt this simply saying that you apply the definition of 5% owner in Section 416 to the period defined in 401(a)(9)? It doesn't say anything about a determination date (which is also in Section 416, but in a different section from the 5% owner definition). Instead, apply the 5% owner definition (416(i)(1)(B)(i)) to the period defined in 401(a)(9) (the plan year ending in the calendar year in which the employee attains the applicable age.) 5-percent owner - 416(i)(1)(B)(i) For purposes of this paragraph, the term "5-percent owner" means- (I) if the employer is a corporation, any person who owns (or is considered as owning within the meaning of section 318) more than 5 percent of the outstanding stock of the corporation or stock possessing more than 5 percent of the total combined voting power of all stock of the corporation, or (II) if the employer is not a corporation, any person who owns more than 5 percent of the capital or profits interest in the employer. Determination date - 416(g)(4)(C) The term "determination date" means, with respect to any plan year- (i) the last day of the preceding plan year, or (ii) in the case of the first plan year of any plan, the last day of such plan year.

If we ignore the other parade of red flags, I would assume this would have to be prospective. Still seems like a ticking time bomb though.

Quick caution, 402g limit and 414v catch-up limits are based on the individual's taxable year, not the plan year. I have never encountered a participant with a taxable year other than 12/31, but it is possible. Check out the linked thread for more insight.

I did an M&A earlier this with a handful of entities and two plans. We probably had at least 10 calls to iron out what everyone needed in the paperwork. There were at some points 20+ lawyers on a call, with representatives from buyer, seller, third party benefits coordinator, and a couple of ERISA attys as hired guns for the transaction. Everyone made some changes to the plan merger paperwork, and nothing was signed until approved by all. It was a PITA to get done between all parties in a very short period of time, but a breath of fresh air to see the engagement in plan matters from the M&A folks.

@austin3515 If the merger effective date is already spelled out in the merger documentation, I don't see the point of using the transfer date as the effective date of the merger in the AA. I see the merger and the transfer as separate issues, and to me it is natural that the transfer date follows the merger date. Perhaps I'm missing one thing though... Do you already have plan merger documentation at this point or are you generating that documentation?

How do you treat it if you get the assets transfer on more than one day? If there is a residual a month or two later?

I prefer ASPPA. I have looked at NIPA a few times, but it doesn't offer as much as ASPPA does (my opinion). From an advocacy standpoint, ASPPA/ARA is much stronger. NIPA is less expensive, but I cant speak to the CE requirement cost. If you don't need CE to be IRS approved, you can easily get enough credits for ASPPA credential renewal with free webinars (I imagine NIPA can be satisfied free or close to it as well) What do you want to get out of it? Is it just to have a credential? Access to education and continuing education? A voice in the industry?

HA! I I think I have received one card out of all the renewals I have done. For some reason I never get them, and we have confirmed addresses several times. They sure send it to the right place if I owe money though

Adoption Agreement / Participation Agreement. Like Bill said above, I'd go by the transaction date or effective date in the merger documents. The trailing assets are not an issue as long as its done within a reasonable period following the merger.

I agree with @david rigby. Merger docs over AA/PA everyday.

The tricky part for ERPA CE is documentation. It sounds like IRS is getting more strict on CE that is not reported to the IRS directly (like ERISAPedia does). I do have some other sources that I recomend for staff or ASPPA CE where you can just self report. Nova does a decent amount of webinars https://nova401k.com/webinars/

I think @thepensionmavens issue is that they don't have a copy of the documentation for the DFVCP application, not the 5500 itself. The DOL will send a confirm to the email address you list as the contact when you apply for DFVCP. The subject line of the confirmation email is "DFVC Program Confirmation of Attempted Submission". I normally use my email as the contact email for the application for this reason. There is an agency tracking number in the email, but if you don't have that, you should still be able to call the DOL and ask. The tracking number will start with year and month of the application, followed by six digits. So if applied today, it would be 25-08-XXXXXX. There is no public database for DFVCP applications.

@Peter Gulia Who does the admin on the plan? If there is a TPA involved, they would most likely be able to make that determination. We are already working on this determination for our clients. Our RK system does not have the self-employed indicator (as far as i know), but our testing/admin system does.

Good point. You CAN do it, but that doesn't mean that you should. FWIW, Im adding Roth and IPRR to all plans that allow catch-up.

You are correct. Prior to the proposed rule, a lot of people believed that in order to allow catch-up, you would need to allow Roth. I think that's where the confusion is coming from.

I agree with Bill, you would normally have a new plan for one of the companies since the other would remain the sponsor of the original plan. If you did two new plans, the old MEP would need to terminate and file a final 5500.

I agree, and I don't like the IF in that statement. I think you can argue that if there is no interruption or distributable event for participants, no harm no foul, as you SHOULD be able to dump an underperforming service provider. Some related issues: - Will a new provider (B) allow you to open a plan mid-year if they know you have one elsewhere (A) that you will discontinue? - Will A allow you to move funds even if contributions stop? If not, Participants have two accounts until they can be consolidated - Plan limits, B likely cant account for contributions to A - 2 year distribution restriction. Will B account for time at A? I think you can do it and defend it even if its technically wrong. Sounds complicated for a dang SIMPLE though... We have been doing a lot of SIMPLE to SH conversions, just saying...

For SIMPLEs - You can start one mid-year if you don't have one - You can start one 1/1 if you already have one - You can terminate mid-year if you replace with a SH 401k - You can terminate 12/31 (with notice) without replacing it. It comes down to: If the current SIMPLE is tied to the investment provider, can you change without terminating the existing SIMPLE and starting a new one? Im leaning no because SIMPLEs are weird...

Plan and plan sponsor also have to have the same tax year to rely on the automatic extension. Best bet is still to file a 5558

5500SF Part III 8b is other income, so gains/losses/dividends/etc. How did you get to $25,300? Can you "show your work"?