VFCP Calculator - Late 401k Deposits - 5500 - 5300

[Guest rps1995]

I have a small 401k plan that had a couple of late 401k deferral deposits in 2008. The deposit was made within 2 months.

I used the VFCP calculator to determine the amount of "lost earnings", using the 7-day rule. The amount of "lost earnings" is less than $100 in total, but it affects 60 participants who are in various self-directed mutual funds.

Is self correction an option?

I would disclose late deposits on Form 5500 and file Form 5330 paying the small excise tax.

Is it permissable to deposit the lost earnings into the plan's forfeiture account?

Thanks for any and all input.