Interest on Late Deferrals

[Below Ground]

Plan deposited deferrals late. As I understand, there are two "interest computations". First, there is the interest adjustment needed to make the person "whole". Second, there is the interest needed to compute the penalty tax for Form 5330 under self correction.

I would appreciate any comments you might have on these computations. Also, where is the table found that defines the interest rates needed to compute the excise penallty tax, and which rate do we use?

Thank you for your help!

[JanetM]

Short cut - use DOL calculator online.

http://www.dol.gov/ebsa/calculator/main.html

[austin3515]

IRS issued a ruling on how to calculate this (2006-38).

http://www.relius.net/include/IRSPDF/IRR-06-38.pdf

Here's Corbel's write up of this.

http://www.relius.net/news/technicalupdate...?ID=343&T=P

[Below Ground]

Thanks to both!