The Guru

We have separate 401(k) plans for non-union and union employees. How are employees who unionized but with a balance in the non-union plan counted on line 6? Are they active because they are active employees or are they separated because they are now in a different plan? Thanks in advance.

We have a couple of participants who have not been cashing their required minimum distribution checks for a few years. The plan administrator is moving the funds from the stale checks into a forfeiture account (this is for a 401(k) plan) to be used to pay plan expenses. Is this kosher? I guess the participants have already been taxed on the distributions.