Schedule A Help!

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Hi-

My original question is below, but the question can be stated simply as "How do you report an insurance contract that is longer than 12 months on Schedule A?"

Thanks.

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I have a client with the following situation:

Plan year 10/1/00 to 9/30/01

Insurance contract that has a term of 11/1/99 to 12/31/00.

So the insurance contract ends in the 2000 plan year. So the contract would be reflected on the 2000 5500. But the insurance contract is for more than 12 months. The instructions to Schedule A seem to say that you should not report data for more than 12 months.

What to do?

One option is report the 14 months anyway. Another option is to split the reporting into 2 Schedule A's, one for 12 months and one for 2 months.

Anyone else deal with this before?

Thanks as usual-

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[Kristina]

There is an EFAST edit check on the Sch A, but it is only on the last day of the contract year.

this would mean you could enter any date in the contract beginning date as long as the ending date does not exceed the plan year end.

Leave it to an insurance company to produce such illogical information. I really wish the DOL would hammer them to provide accurate and complete Sch A information

[card]

Thanks.

I called the DOL's Office of Chief Accountant (they handle 5500 questions and are available at 1.866.275.7922, if anyone is interested) and they (infomally of course) indicated that since this is a fully insured welfare plan, they did not really care so much...

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