401(k) Plan Termination

[Guest jetfaninmn]

A 401(k) plan terminates in 2006. There are 4 eligible ee's. When can they implement a simple 401(k) plan? What is the earliest possible date?

[Guest jetfaninmn]

Also - there have been no contributions in the 2006 plan year - calendar year plan

[Guest mjb]

Are forefeitures being allocated in 2006?

[Bird]

A Simple 401(k) is a successor plan, so you'd have to wait 12 months from the last distribution.

Why not just amend it? Or for that matter make it a safe harbor 401(k)?

A SIMPLE IRA is NOT a successor plan, so if that's what you meant, that's OK any time.