Account title for individual 401K plans

Hope someone can clarify this situation for me on the correct titling of my solo 401k plan (traditional 401K & Roth 401K accounts)

Facts:

I operate a business as a professional corporation (PC) with myself as the only employee and adopted an updated plan recently with Etrade as a simplified (prototype) 401k plan, Etrade is the custodian & I am the trustee. I amended my former Corporate 401K documents held at Vanguard by transferring balances that are in excess of $250K to Etrade. Etrade insists that the title of my brokerage accounts account is my personal name (not the corporation name) i.e. Joe Doe individual 401K plan - NOT Joe Doe, PC 401K plan FBO John Doe (same for Roth 401K account) even thought I completed the plan applications in the PC name as the business (Etrade has my 401K account statements are in my personal name -John Doe Individual 401K Plan)

I think the statements must be in the PC's name & Etrade says it does not matter since the account was set up in the PC name on their records (not shown anywhere on statements)  and they are only the custodian. Who is correct? Do I have a potential problem of an invalid plan? Will my corporate contributions  to this plan be a problem?

What about filing form 5500EZ? Will this be a problem if plan name does not match statements name?

Thanks

The accounts should be in the name of the plan and with the plan TIN.

Also, you mentioned transferring balances in excess of $250k. For filing purposes, all accounts are aggregated.

It's not the way we in the biz would title the accounts but frankly it doesn't matter.  No one is comparing your plan filings to your account statements, trust me.  If you were audited I doubt an agent would even raise an eyebrow.

As Bill Presson notes, all plans are aggregated for purposes of the $250K limit so if that was a motivation it was ill-founded.  I also wonder whether you have one plan or two.  Probably two, at least that's how it should be since I doubt Vanguard allows their plan to be used with E-Trade accounts and vice versa.  You should file two returns.

19 hours ago, Bird said:

You should "hire someone that knows what they're doing."

@Bird I think you meant to type this.

2 hours ago, Bill Presson said:

@Bird I think you meant to type this.

Yes, thanks - slip o' the fingers.

Thanks for the replies.

I guess I was not clear that I closed out the Vanguard accounts by transferring them in full to Etrade and updated the existing plan by adopting the Etrade prototype plan. I one have only one 401K plan.  My understanding is it is only one single 401K plan with 2 options - Traditional & Roth  and each has a separate brokerage account.

I will be filing only a single form 5500EZ with my 12/31/20 balances as shown on Etrade statements, as I had a single plan for the 2020 year - my plan was NOT closed, it was amended to adopt the new sponsor. I filed one return for 2019 & will file one return for 2020, with the only difference is the plan sponsor. Wanted confirmation that I am correct.

On 1/26/2021 at 1:58 PM, Bird said:

It's not the way we in the biz would title the accounts but frankly it doesn't matter.  No one is comparing your plan filings to your account statements, trust me.  If you were audited I doubt an agent would even raise an eyebrow.

 

This is interesting I would think if audited by IRS the names should match (5500 filing & statements) or be reasonably similar. An account held as a self-employed individual (schedule C) is NOT the same person as a corporation (PC). Currently it appears like I have a self-employed plan (sch C), not a corporation plan. 

Since you are in the biz, how would you title the accounts?

I'd title them in the name of the Plan with and FBO attached.

20 minutes ago, Lou S. said:

I'd title them in the name of the Plan with and FBO attached.

Same here, but I agree with prior comments that it just doesn't matter.

2 hours ago, Mike Preston said:

Same here, but I agree with prior comments that it just doesn't matter.

Agreed, don't lose any sleep over it.  Good enuf for government work.   

I guess that I was worrying over nothing seriously wrong.

Thanks for all your replies.