pensionreview

Just to let you know that although ftwilliam does not have the cycle 3 restatement posted yet, it does have the SECURE 2.0 amendment available.

What is the best method to use to correct an EIN on a Form 5500-SF which was already filed? I don’t believe amending the 5500 to show the correct EIN in box 2b of Form 5500 would work since the correct EIN in box 2b would not be able to cross-reference the original Form 5500 which was filed using a different and incorrect EIN.

A plan being restated for Post-PPA will update fees for individual participant expenses. This restated plan is effective on 1/1/2022. Since the SPD reflects the updated fees, is that sufficient to satisfy notice requirements for fee changes, or is it necessary to issue a notice notifying participants of this change to be effective 30 days after the notice is given?

SH notices must be sent for all 401(k) plans with SH Matching Contribution provisions. SH notices do not have to be sent for 401(k) plans with SH Non-elective Contributions provisions, EXCEPT if the plan has "maybe" or follow-up notice provisions. If that is the case, then SH Notices must be sent.

Does anyone prepare Form 945s and complete the "paid preparer use only" section of the form? If you do, do you have a PTIN? We let our PTINs lapse because they are not required for Form 5500 preparers. But the Paid Preparer section asks for the PTIN.

A potential cash balance plan client made the 2017 contribution in 2017. It has now been determined that this contribution is over the maximum allowed. We think the excess can be transferred to the client's profit sharing plan but can't find clear guidance on this.

An independent contractor who receives a 1099 is actually a common law employee under ERISA and should be in the pension plan his company will sponsor. The problem is the definition of compensation in our Volume Submitter document calls for W-2 income of which he has none. How can I include him? Do I have to go to a custom document? Thanks.

A plan that is covered by the PBGC is terminating. The plan is in the 60 day review period with the PBGC. One of the participants has a DRO that has not been signed by the court yet. If the court does not sign the DRO by the distribution deadline how do we handle the distribution to the participant with the DRO?

Thank you for your replies. We got back to the accountant for more relevant information: A was dissolved on 6/30/2016. B was formed on 7/1/2016 and assumed sponsorship of A's plan effective 7/1/2016. There was no asset sale or stock sale. All employees were terminated by A and then hired by B, with the exception of the former owner of A who started new company C. So, to re-word our original question, is it possible to amend A's plan to fully vest only former employees of A who were not hired by B?

A company (Company A) was dissolved, and the two owners of Company A formed two new companies, Company B and Company C. Company B is now owned by one of the two Company A owners and retains all of the employees of former Company A. Company B became the sponsor of Company A’s existing defined contribution plan. Company C is owned by the second owner of former Company A and has no employees from Company A besides himself. He was 60% vested in Company A’s defined contribution plan when Company A was split. He now sponsors a new defined contribution plan for his company. Is it possible to amend Company A's plan to fully vest those former employees of Company A who were transferred to Company C if it is only the former owner of Company A who benefits?