Form 5500-EZ Part III Question

[Francis]

I'm uncertain of how to complete Lines 7a-7c in Part III of the 5500-EZ.  For End of Year Total Plan Assets (7a column 2) for a calendar year plan, should the value on the participant's 12/31 account statement be used?  Or should any contributions made throughout the calendar year be subtracted from the 12/31 statement value? 

The instructions state to not include contributions designated for the plan year but those could be part of the 12/31 value if contributions were made during the calendar year. 

If contributions are made after 12/31 but before the tax filing deadline, should those be excluded from 7a-7c and just stated on 8a-8c? 

I know the 5500-EZ is supposed to really simple but how to arrive at the values for 7a-7c are confusing to me for contributions made during the calendar year and after the calendar year since the 12/31 statement is how I could arrive at the end of year value but contributions account for some of that value but the instructions mention not including contributions.

[RatherBeGolfing]

22 minutes ago, frank1971 said:

For End of Year Total Plan Assets (7a column 2) for a calendar year plan, should the value on the participant's 12/31 account statement be used? 

Yes.

23 minutes ago, frank1971 said:

Or should any contributions made throughout the calendar year be subtracted from the 12/31 statement value? 

No.

23 minutes ago, frank1971 said:

The instructions state to not include contributions designated for the plan year but those could be part of the 12/31 value if contributions were made during the calendar year. 

The instructions say to not include contributions designated for 2016 in column (1), which is the beginning of the year assets.  2016 contributions are included in column 2, which is EOY assets.

Quote

Line 7a. top "Total plan assets" include rollovers and transfers received from other plans, unrealized gains and losses such as appreciation/depreciation in assets. It also includes specific assets held by the plan at any time during the plan year (for example, partnership/joint venture interests, employer real property, real estate (other than employer real property), employer securities, loans (participant and non-participant loans), and tangible personal property).

Enter the total amount of plan assets at the beginning of the plan year in column (1). Do not include contributions designated for the 2016 plan year in column (1). Enter the total amount of plan assets at the end of the plan year in column (2).

Line 7b. top Liabilities include but are not limited to benefit claims payable, operating payables, acquisition indebtedness, and other liabilities. Do not include the value of future distributions that will be made to participants.

 

28 minutes ago, frank1971 said:

If contributions are made after 12/31 but before the tax filing deadline, should those be excluded from 7a-7c and just stated on 8a-8c? 

No.  They are included in 7a-c and 8a-c.

 

[Francis]

Thank you!  You've be super helpful.