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Showing results for tags '457(f)'.
Found 6 results
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Hi. I am looking at a 457(f) plan that permits after-tax contributions. Please help me - why would a person want to give their already-taxed compensation back to the employer? Deferral of taxation on earnings for a few years does not seem to warrant the risk of the sponsor's bankruptcy. What am I missing? Thanks! This board'S moderators and contributors are the best! P.S. All I could find on Google and elsewhere was a GuideStone plan adminstrator's guide that had a reference to 457(f) plans that permit after-tax contributions.
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Large nonprofit health systems are being approached frequently by consultants offering proposal to rescind executives 409A/457(f) SERPs in direct exchange for split dollar loan regime arrangement of substantially equal value (but generally a very different "payment" time/form than under the 409A/457(f) SERP). Push for these proposals now seems to be to help nonprofit employer avoid or reduce 4960 excise taxes where these SERP values would exceed $1M at vesting. Anybody seeing these along with the legal opinions from the promoters that these "swaps" "should not" run afoul of 409A or 457(f)?? Thoughts on whether this violates anti-substitution/anti-exchange rules under 409A/457(f) and if not - why? If an executive and employer bilaterally agreed to cancel SERP in exchange for loan regime split dollar arrangement, should executive insist on indemnification from employer for potential 409A/457(f) infractions/penalties if the promoter's "should be ok" doesn't ultimately align with IRS views on audit - or even at Tax Court? I appreciate any insight as to how these proposals are being greeted by employer's counsel.
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Hi. We have a 457(f) plan. An executive with a lot of PTO banked has asked whether the unused PTO can be transferred into his 457(f) plan account. Is this permissible? Currently the plan is silent to this, but I imagine it could be amended (if it is legally permissible). Thanks for any guidance.
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I know very little about subchapter T cooperatives, but perceive them not to be tax exempt entities, and therefore not subject to 457(f)? Do you agree/disagree? I appreciate any feedback.
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Hello. I am new to 457 and hoping for some guidance. A tax exempt entity matches 457(b) deferrals. There is a vesting schedule causing the matching to vest and excess deferrals in years subsequent to the initial deferral. If the plan distributes the excess deferral after April 15, does this cause double taxation in a manner similar to the 401(k) plan treatment? My reading of the regulations and secondary materials suggest not. I can find nothing other than discussion relating to failure of the plan generally after April 15 and taxation of deferred amounts that are not subject to forfeiture. But if excess match is taxable in year vested and then distributed in subsequent year, how is it reported and is it taxable at distribution? Is there basis under sec. 72? A previous discussion and example were helpful but did not address matching and did not address specifics as to what is the effect of plan failure given late correction. Can someone provide an example with authority of reporting on W2 for an excess deferral caused by match vesting where distribution of excess is made in subsequent year after April 15? Thanks for any help you can provide.
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We administer our payroll and most benefits (health care, 401k) under a PEO plan. We also have a 457(b) [and soon a 457(f)] Plan that the company administers because the PEO does not offer this plan. However, the employee contributions are reported to the PEO for reporting on the year end W2 reports and filing. My question -- what EIN number should be used for the 457(b) and 457(f) plans - the company's or the PEO's? We set up the 457(b) Plan under the company's EIN because it was set up before we switched to the PEO. But as I am now setting up a 457(f) the question has arisen. I think it should be the company's EIN because until risk of loss is removed the assets belong to the company - but my common sense may not be what rules the day. Advice is welcome.
