Jakyasar

Mine would be manual filing as well. What to do, what to do.

I was also checking with someone else and was told that the filing does not allow attachments and need to file a separate 5330, hmmm.

All this work for 1.90 of penalty, wow Dumb question, where do you say "additional pages", I did not see a box for it

That is what I am planning to do as well but I will wait a bit more, thanks

Riley, tx but how do you deal with the 5330 - excise tax filing? Follow up question On completing the 5330, I will possibly need additional pages as all deferrals were late. How do you accomplish this? This is just crazy for completing this form for pennies. My motto, no good deed goes unpunished. Grrrrr

Hi Not a 401k expert (barely novice). Looking at a plan for 2020 and 2021. Both years had deferrals deposited late. No VFCP calculations were made nor any adjustments deposited into participant accounts. No 5530s filed. How can this be corrected? Thanks

Nate When you say reversion amount is subject to income taxes, you meant the remaining balance of the QRP and not the full amount reverted, correct?

That is my understanding as well (I never do it that way but checking for someone) So can file EZ today and certify SB by 10/15.

Asked by someone as i never heard of this before. Can they file the 5500-EZ before certifying schedule SB? Thanks

Thank you for the suggestion.

No access to ACOPA board, thank you though. If I find anything, will share with the board. Such a touchy subject.

Yeah, only if I knew what to think is right. Thank you for the suggestion though. Never thought this would be a subject where I could not find a solution to or get any guidance.

You may be right but still not the right approach. After all, how is the accrual restored? It is the same for one lifer or not. Looks like will freeze now before certifying AFTAP and do an A+B amendment.

No one?

Gilmore, she was not an officer in 2020, just a rank&file employee, making under 100k. She purchased 20% in 2021.

I do not think I agree with your statement, one lifer or not, AFTAP is applicable to all DB plans (at least the ones I deal with). Given that the accrual has to jump, it can matter big time especially with the possibly increased level of minimum required contribution. I have not seen anywhere that says "one lifer, who cares".

Any takers on this?

Hi PS plan, top heavy for 2021. Both key and non-key receive top heavy minimum. Plan also has 5% gateway requirement for non-HCEs. Beginning of 2021, Joe owned 100% of the company July 1 2021, Joe sold 20% to an employee, Mary. As of 12/31/2021, ownership is 80/20. When did Mary become a key employee? What contribution does Mary need to get for 2021? Thank you

I am fully aware of everything you did not say since you are not here. There are no PFBs and COBs to eliminate. I still would like to know about the AB's, the freeze date etc, for my information.

Salary not relevant, all HCEs. If a DB plan, possible PBGC coverage too.

Hi This is a new one for me and it is for AFTAP gurus out there. Looking at a possible takeover, one lifer DB plan. Effective date 1/1/2010. I just found out that AFTAP was never certified for this plan. So, each year a benefit accrual was done and funding was based on this (my understanding is that the target normal cost (TNC) needs to be funded separately each year and not the funding target (FT)). Just by looking at the various valuations provided, looks like the funding may not be an issue, both covering minimum required and maximum permissible deduction so let's leave this part alone for the time being. It is a BOY valuation. The plan document states automatic restoration. After my research, I think the freeze date is 12/31/2014 - end of 5th plan year. Am I correct on this date? Q1: What I do not seem to find is, how to restore the AB after AFTAP is certified as of 9/30/2022. For simplicity, say the AB is $1,000 per year of participation. So, if frozen as of 12/31/2014, the frozen benefit as of 1/1/2015 and on would be $5,000. This benefit would follow thru 12/31/2021. After AFTAP certification, how would 2022 AB would look like at 1/1/2022 and 12/31/2022. Q2: Another thing I read (not sure if it will fly), I can hard freeze the plan now i.e. before certifying the AFTAP and have the AB frozen at $5,000 until I amend the formula. I would appreciate any comments. Thank you

Makes sense and thank you

Out of curiosity, how is CG determined? Do they have any kids under 21? Just because they each own 100% does not necessarily make it a CG. Also, if they are not a CG, wouldn't this be a multiple employer plan? Thinking out loud and hope that I did not miss anything. How the contribution will be split will depend on the answers.

Hi XYZ DB plan is terminated with overfunded assets (100k). All participants elected to rollover their distributions to XYZ PS Plan. Total was 1M The overfunded portion was deposited into the XYZ PS plan (under qualified replacement plan rules - QRP) as excess DB assets to be allocated in the future. In preparing the final 5500 form (2021 plan year) for the DB plan, I am confused by 2 lines: 8j and 13c Are any of the above assets considered as transfers? I do not believe the participant rollovers of 1M are (they were directly deposited into the DC plan accounts from the DB plan but as rollovers) How about the QRP portion of 100k as also was directly deposited into the DC plan account from the DB plan account. Thank you

Hi Bri I am aware of the first part and thank you. It is the second part that I am thinking about.