This is obviously a 12 year old thread, but it pertains almost exactly to my situation.
I have an S-corp for my medical practice. No retirement plan, because I also own part of a professional services organization with four other doctors. I do not have a controlling interest or even a voting interest in the PSO. It does all the billing for all doctors, pays all the employees (about a hundred), and cuts checks to my medical corporation minus the agreed overhead figure. The PSO is paying me a salary and then pays the remainder of money owed to me each month above the agreed salary, based upon the actual amount of revenue generated that month.
The PSO has a registered 401k. It has exclusionary criteria that are income-based. I am not allowed to participate. It is aimed mainly at the non-professional employees.
Because I am not allowed to contribute to the PSO 401k, I would like to establish a retirement program for my own S-corp. It would be nice if it were a Defined Benefit program, though from the above posts it seems that this option might need to be offered to employees of the PSO also in order to stay within the rules. If not allowed, then I would like to establish a 401k or other plan that would allow me to make pretax retirement contributions.
I called an actuary and she thinks that because my S-corp is part of an ASC, that it is not possible for me to have a separate retirement plan under the S-corp. This seems illogical, because I should be eligible to participate in at least one retirement program, and I am not able to participate in the PSO plan.
The posts above seem to suggest that my S-corp might be able to have its own program, if certain conditions are met. If that is true, I would like to know what the conditions are and how to meet them, so that I can contribute some funds to my S-corp plan before October.
Thanks in Advance. I am happy to pay for advice, if qualified.
