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Showing results for tags '401(k) Plans'.
Found 5 results
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Hello, I typically do the annual match calculation and lump sum contribution for my company in late January in the year following the plan year, but the company has a lot of expenditures in Q1. They have asked if the match could be paid later in the year like, for example June 30. I offered April 1, but they declined that date as it's too close to Q1. They countered with April 30 or later, like June 30. I believe a match paid after April 15 would mess up compliance testing, am I right? Especially 415 testing, which is an issue for my company as we do after-tax voluntary contributions/Roth conversions. I will offer to do quarterly matches with a last day of the quarter requirement. Right now we have a last day of the year rule. By going quarterly it will increase costs, but spread out the payments like they want. What does the community think? Is a match payment after April 15 not a feasible idea? Besides 415 testing, what other tests are impacted so I can defend my position? Thank you! -
Short Version: A buys B in asset purchase. B has no plan. Can A amend to allow everyone employed on "x" date to enter plan, then revert back to requiring age 21 and 1 YOS? Long Version: "A" has a 401(k) plan requiring age 21 and 1 YOS. Dual entry: 1/1 and 7/1. A has 1 employee - Joe. Joe is very part time and would never be covered by plan. April 2016, "A" buys "B" in an asset sale. B has no plan. A hires all of B's employees. Some are under 21. A wants to allow Joe and all of the new B employees to enter the plan August 1st. After that, age 21 and 1 YOS are to apply to all new hires. If we simply amend to count service at B, Joe is still out. And, some B's are younger than 21, so they are still out. Any problem with amending such that everyone employed on August 1st is in, regardless of age and YOS, then revert back to age 21 and 1 YOS? -
I've been researching Money Market Reform issues, and my initial research was centered around trying to figure out if Health & Welfare plans are eligible for "Retail Money Market Funds (MMFs)", but as I read through multiple articles I have become more confused. Questions: Are trustee directed defined contribution plans eligible to invest in Retail MMFs?Most of the articles refer only to defined contribution plans, but at least one article said only "participant directed defined contribution plans" are eligible to invest in Retail MMFs Are Health & Welfare plans (pooled funding/non-participant directed plans) eligible to invest in Retail MMFs?What about Health & Welfare plans where participants do get to choose how their accounts are invested (eg. HSA plans)? Based on what I've read so far, the ability to invest in Retail MMFs is limited to "Natural Persons", which includes omnibus accounts where the "beneficial owners" are natural persons. It seems to me in reading SEC Release No. 33-9616, Beneficial Ownership means having voting and or investment powers, which would not be the case in trustee directed plans, which would be consistent with not allowing DB plans to invest in Retail MMFs. Any guidance would be appreciated. -
Part of your fiduciary responsibility as a retirement plan sponsor is reviewing and benchmarking your plan. The Plan Sponsor Council of America has been providing the most comprehensive plan benchmarking data for nearly 60 years. Plans sponsors can get the data they need for free by participating in the survey. Respondents receive a copy of the report which contains 180 tables of data on the latest trends in DC plans including: Plan participation and deferral rates Average employer contribution rates and contribution formulas Number and type of investment options offered Investment monitoring policies and procedures and investment advice Participant education and communication Plan design features including Roth, loans, hardship withdrawals, and more Automatic enrollment and escalation features Plan administration practices Visit www.psca.org/58th_AS for more information.
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A single employer 401(k) plan is changing its plan year end from 11/30/XX to 12/31/XX. I was wondering if there was any guidance or examples of financial statements in conformity with the provisions DOL regulations 29 CFR 2520.104-50 for short plan years, deferral of accountant's examination and report. These are some variables to keep in mind. Prior year required an audit & current year will as well. Audit is a DOL Limited Scope Audit. Prior years Financial Statements were dual year Plan's trustee & Administrator will remain the same
