Form 8955-SSA

[DPSRich]

Form 8955-SSA and Instructions were released on Saturday. Seems pretty straightforward. Only thing I notice is that there will be a different zip code for mailing in the 5558, whenever that form is released.

If I am missing something, please advise.

Thanks.

DPSRICH

[mbozek]

Form 8955-SSA and Instructions were released on Saturday. Seems pretty straightforward. Only thing I notice is that there will be a different zip code for mailing in the 5558, whenever that form is released.

If I am missing something, please advise.

Thanks.

DPSRICH

See instuctions to 8955.

403b plans subject to ERISA will be required to file the 8955 form with the IRS. 8955 filing will be voluntary for non ERISA 403b plans. Also the 8955 filed for year of termination must include changes in information on participants with vested benefits on 8955's filed in prior years.

Additional comment: The 8955 instructions are unclear as to whether the 8955 form filed for 2009 will be required to include information on vested benefits of terminated participants required for years prior to 2009 when DOL exempted ERISA 403b plans from the requirement to submit the 5500-SSA.

[Guest Annette Leerhoff]

I have a question regarding completion of Form 8955-SSA.

If you are showing a participant that was paid out of their vested balance (using an entry code of D) that was previously reported on an SSA in a previous year, would you indicate 0 in both 6 a and 6b in Part II of Form 8955-SSA? (I am not reporting any participants with a deferred vested benefit who have terminated.)

Also, can I print out the form 8955-SSA on the IRS website and use for filing?

Thank you.

[Tom Poje]

Q and A 8 simply says:

How do I submit the Form 8955-SSA to the IRS?

Form 8955-SSA can be submitted to the IRS in paper by sending the filing to the address below, or electronically by using third-party software and the IRS’ Filing Information Returns Electronically (FIRE) system. See FAQ #10 for more information on electronically filing Form 8955-SSA.

Department of the Treasury

Internal Revenue Service Center

Ogden, UT 84201-0024

so I would just fill in the form from the site and submit (unless your software also has the form available and you can use that). My sample test of the form (print form with data) prints with no bar codes. oddly enough if you print just "blank form 8955-ssa" bar codes appear, so who knows!!!

based on what you have to do for electronically filing I think I'd avoid that.

in the past you should have indicated who was paid out so I would continue to report those people the same as before.

[jkdoll2]

Q and A 8 simply says:

How do I submit the Form 8955-SSA to the IRS?

Form 8955-SSA can be submitted to the IRS in paper by sending the filing to the address below, or electronically by using third-party software and the IRS’ Filing Information Returns Electronically (FIRE) system. See FAQ #10 for more information on electronically filing Form 8955-SSA.

Department of the Treasury

Internal Revenue Service Center

Ogden, UT 84201-0024

so I would just fill in the form from the site and submit (unless your software also has the form available and you can use that). My sample test of the form (print form with data) prints with no bar codes. oddly enough if you print just "blank form 8955-ssa" bar codes appear, so who knows!!!

based on what you have to do for electronically filing I think I'd avoid that.

in the past you should have indicated who was paid out so I would continue to report those people the same as before.

But do you include the Code D participants (paid out) in the count for 6a and 6b?

[DMcGovern]

I have a similar question in another post. What is the purpose of section 6 in the form? Are they only asking for a count on the new terminated participants with a deferred vested benefit, or is it a count of the total number of people being reported on the form? It seems odd to put zeroes in there and then have people you are reporting on the second page. Back in 2008 on the Form 5500, question 7(i) seemed to be more of a "trigger" to indicate that Form SSA was required, so I counted all of the codes being reported.

[Tom Poje]

I would include them on one of those items.

while the verbage for 6a only says "Participants who separated with a deferred vested benefit required to be reported..."

the instructions on the first page under Purpose of Form

says to report info about 'separated partcipants with deferred vested benefits' [same verbage as the line 6a]

but there are 4 bullet points who that includes (or perhaps, what the Govt means by that term 'separated participants with deferred vested benefits')

this includes those who were reported previously and have been paid out (bullet point 3)

at least that is how I would read it.

[jkdoll2]

I would include them on one of those items.

while the verbage for 6a only says "Participants who separated with a deferred vested benefit required to be reported..."

the instructions on the first page under Purpose of Form

says to report info about 'separated partcipants with deferred vested benefits' [same verbage as the line 6a]

but there are 4 bullet points who that includes (or perhaps, what the Govt means by that term 'separated participants with deferred vested benefits')

this includes those who were reported previously and have been paid out (bullet point 3)

at least that is how I would read it.

Another question - if you have a plan with nothing to report for 2009 but has something for 2010 - what dates do you put on the form 1/1/2010 thru 12/31/2010 or 1/1/2009 thru 12/31/2009? Do you put the participant count in 6b for the the 2010 plan year when you have nothing for 2009? Thanks

[Tom Poje]

the Q and A #3 says

May I prepare one Form 8955-SSA covering both 2009 and 2010 reportable employees?

Yes, you may prepare one Form 8955-SSA encompassing both 2009 and 2010 reportable employees. In that case, the 2010 reportable employees are treated as reported in 2009. Enter the beginning and ending date for the 2009 plan year on the Form 8955-SSA when combining information for the 2009 and 2010 plan years. For example, a plan that reports on a calendar year basis and combines information for the 2009 and 2010 plan years should enter January 1, 2009 as the beginning date and December 31, 2009 as the ending date.

so if you are combining plan years I guess you go with 2009.

6a is suppose to be for 2008 separated and 6b is for 2009 separated, and since 6b says 'voluntary' I would 'guess' you would include those people in 6b.

as I noted under 'humor', I wonder how many people are going to report the name 'exactly' as it appears on the soc sec card as the instruction require.

[jkdoll2]

the Q and A #3 says

May I prepare one Form 8955-SSA covering both 2009 and 2010 reportable employees?

Yes, you may prepare one Form 8955-SSA encompassing both 2009 and 2010 reportable employees. In that case, the 2010 reportable employees are treated as reported in 2009. Enter the beginning and ending date for the 2009 plan year on the Form 8955-SSA when combining information for the 2009 and 2010 plan years. For example, a plan that reports on a calendar year basis and combines information for the 2009 and 2010 plan years should enter January 1, 2009 as the beginning date and December 31, 2009 as the ending date.

so if you are combining plan years I guess you go with 2009.

6a is suppose to be for 2008 separated and 6b is for 2009 separated, and since 6b says 'voluntary' I would 'guess' you would include those people in 6b.

as I noted under 'humor', I wonder how many people are going to report the name 'exactly' as it appears on the soc sec card as the instruction require.

Im not really combining them - Im only reporting for 2010 because there is nothing for 2009 - Do I use 1/1/2010 thru 12/31/2010 dates - since Im only reporting 2010 information? Thanks

[doombuggy]

I would include them on one of those items.

while the verbage for 6a only says "Participants who separated with a deferred vested benefit required to be reported..."

the instructions on the first page under Purpose of Form

says to report info about 'separated partcipants with deferred vested benefits' [same verbage as the line 6a]

but there are 4 bullet points who that includes (or perhaps, what the Govt means by that term 'separated participants with deferred vested benefits')

this includes those who were reported previously and have been paid out (bullet point 3)

at least that is how I would read it.

But when you read the instructions for 6a & b, only 6b mentions "and who are reported in Part III of this form." In the case where I have 1 participant to report who was previously reported on Form SSA and was paid out in 2009, so needs to be reported as a "D" in 2009. In this case, I put "0" for 6a and "1" for 6b.

[PFranckowiak]

Okay - I re-read the instructions - See item Line 9 Column c - says enter participant's name EXACTLY as it appears on the participant's social security card. Since I NEVER get a copy of the participant's social security card - this will be hard to monitor. (I am not even sure exactly how my own name appears on my card without looking) I would think that the IRS should have these records and can get the exact name themselves by matching with Social Security Number. Paricipants may have been married by the time we report them.

Guess this is just another verbage we cannot exactly follow.

What do others do - do you get a copy of the SS card before putting them on the SSA?

Pat

[DMcGovern]

I would include them on one of those items.

while the verbage for 6a only says "Participants who separated with a deferred vested benefit required to be reported..."

the instructions on the first page under Purpose of Form

says to report info about 'separated partcipants with deferred vested benefits' [same verbage as the line 6a]

but there are 4 bullet points who that includes (or perhaps, what the Govt means by that term 'separated participants with deferred vested benefits')

this includes those who were reported previously and have been paid out (bullet point 3)

at least that is how I would read it.

But when you read the instructions for 6a & b, only 6b mentions "and who are reported in Part III of this form." In the case where I have 1 participant to report who was previously reported on Form SSA and was paid out in 2009, so needs to be reported as a "D" in 2009. In this case, I put "0" for 6a and "1" for 6b.

To clarify:

1) So if you are only reporting for the 2009 plan year, you would report anyone that terminated in 2008 with a deferred vested benefit in 6a. Anyone with codes B, C or D would be reported in 6b.

2) If you are combining the information for 2009 and 2010, the instructions say to enter the total combined number in 6b. (i.e. 6a is not used at all for combined reporting)

3) If you are only reporting for the 2010 plan year, do you assume that the 2008 and 2009 dates in the instructions for lines 6a & 6b advance to the appropriate years (2009 & 2010) and report in the same manner as in #1 above; or, do you report all in 6b since that is where they would be reported in a combined plan reporting?

[DMcGovern]

Just heard from an informal source that the IRS will be releasing additional guidance shortly that will modify the due date for the 2009 and 2010 Form 8955-SSA. The modified due date will be the later of January 17, 2012 or the due date that generally applies for filing the Form 8955-SSA for 2010. No Form 5558 extensions will be allowed for the 1/17/12 due date.