Pension RC Posted September 8, 2013 Posted September 8, 2013 Is there an age above which one cannot start a defined benefit plan. In other words, if an 80-year-old actively self-employed person wants to start a DB plan with NRA of 65 and 5 year of participation (so the 80-year-old's NRA would be , is there anything stopping him? Thanks!
Andy the Actuary Posted September 8, 2013 Posted September 8, 2013 His children? Assuming the Plan provides for 5-year vesting (except for the non-existent employees), he would have to start taking MRDs after 5 years. The material provided and the opinions expressed in this post are for general informational purposes only and should not be used or relied upon as the basis for any action or inaction. You should obtain appropriate tax, legal, or other professional advice.
Effen Posted September 9, 2013 Posted September 9, 2013 If it is a one life plan, and that one life is the owner, the plan would be top heavy, which would mean 3 year vesting. The material provided and the opinions expressed in this post are for general informational purposes only and should not be used or relied upon as the basis for any action or inaction. You should obtain appropriate tax, legal, or other professional advice.
Andy the Actuary Posted September 9, 2013 Posted September 9, 2013 Agree with Effen The material provided and the opinions expressed in this post are for general informational purposes only and should not be used or relied upon as the basis for any action or inaction. You should obtain appropriate tax, legal, or other professional advice.
FAPInJax Posted September 9, 2013 Posted September 9, 2013 There is maximum age for a person wanting to start a defined benefit plan.
david rigby Posted September 9, 2013 Posted September 9, 2013 There is maximum age for a person wanting to start a defined benefit plan. Cite? I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
John Feldt ERPA CPC QPA Posted September 9, 2013 Posted September 9, 2013 No later than the last age in the actuarial chart? Maybe FAPInJax meant there is no maximum age, but left out the "no"?
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now