Jump to content

Recommended Posts

Posted

Plan lost 1M in investment value in 2019.   Company deposited 1.25M in September of 2020  which would meets requirements for deduction for 2019.

Now the Company wants to count the 1.25M deposit in 2020 partially for 2019, 2020 and 2021.   I know it can be used for 2019 and 2020 but what about 2021 for both deductions and minimum funding requirements.

Posted

Due to the COVID extension, I think if they wait until 1/4/2021 to make the deposit, it could be counted for 2019, 2020, or 2021.  You would need to amend the 2019 SB, but I think it would work. 

If they deposit it during 2020, I don't think it can be considered as a 2021 contribution.

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.

Posted

Could some of it be credit balance at 12/31/2020?

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.

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 account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...

Important Information

Terms of Use