How long is my plan sponsor client required to retain records (employment and other)? Her auditor says to keep records forever. We generally keep paper copies for 7 years though we keep electronic records forever. Any formal guidance on this?

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A former participant had his account balance distributed in February 2017. The distribution was processed as a direct rollover to his new company's 401k. The check was deposited in February by the rollover institution, Empower. The plan administrator never gave the authorization to Empower so Empower issued a check payable to our Trust, FBO the former participant, as a refund. The check was issued and mailed to the former participant in April 2017. The former participant sent us the refund check this week. He has held on to the check for almost a year. Do we need to accept the funds back? The Form 1099R already was issued. Also, we couldn't accept the check as we have since changed custodians and the check is made payable to our old bank. What options does the former participant have?

Non-profit organization has a U.S. operation and a Canadian operation. The same board controls both organizations, so they're a related group. The U.S. organization has a non-ERISA, deferrals-only 403(b). Canadian employees are not allowed to participate, and there is no separate plan. Can Canadian employees (who are Canadian citizens) be excluded under the universal availability part of the 403(b) regulations? Perhaps the plan could simply exclude all non U.S.-source income compensation, which would accomplish the same thing, as they are paid purely for work in Canada? Could they be excluded as nonresident aliens? By the way, no highly-compensated employees.

Do we have any guidance on how to allocate PPA funding results following a non de-minimis spin off? Specifically, how do we handle shortfall amortization bases, credit balance, and smoothed assets? If we are still operating without guidance, can you offer any suggestions on what you have done/seen? (My client's plan spun out a non de minimis portion of participants at 12/31/2017 to a new plan as a result of a change in controlled group. Assets have been allocated and split as of 1/1/2018. The plan is over 100% funded on a PPA funding relief basis (but wasn't on a 4044 PVAB basis), smooths assets and has FSCB and PFB.)