Is It Necessary For Me To Do Anything by February 28, 2002?

[Guest bldoz]

This is my first post, so please forgive me if not properly done.

I have a single person self-employed Keogh Profit Sharing set up in 1977. Made contributions for 3 years in the beginning. No contributions made for last 20 years but have been growing the plan from the early contributions. I have been reading lately that amendments must be made by Feb. 28, 2002. Do I have to amend or ask for a letter in regards to this plan, if I will not be making future contributions, but am just waiting to retire? In the beginning this plan was set up by a bank's trust department using their prototype model whic had been approved by the IRS. The last few years I have been the trustee.

I realize I have not made myself very clear. I just don't want to miss some important deadline.

Thanks.

bldoz

[Guest pineapple]

Bldoz,

You're post really contains two points which need to be addressed.

First, since you haven't made any contributions for 20 years, the IRS could say that the plan was terminated since you didn't make recurring and susbstantial contributions. But that issue might not matter since your plan only covers you.

Second, you definitely must amend your plan for GUST changes in law. Questions - when was the last time you adopted a restated adoption agreement? Does the bank which originally sponsored your prototype still sponsor that prototype?

We need to know these answers so we can give you the proper advice. Thanks.