"Has anyone else received calls from clients stating their former employees have received SSA Potential Private Retirement Benefit Information Letters when they took full distributions years ago? In the last week, we've received calls from several and in every case the participants were reported with a code D on a form 8955-SSA at some point in the past. The oldest one was from 1994! Anyone aware of any issues at the DOL that might have resulted in this, or aware of something that has been released about this that I might have missed?"

"Is there anything that restricts a participant to take a loan while they are out on a leave of absence? The loan specifically states that all repayments must be made via payroll deduction, so the thought is that it naturally restricts it. The Trustees are asking if there is anything more specific, though. Thanks in advance!"

"If you have a valid beneficiary designation on file, to you segregate those assets to the beneficiary right away? For example, if Sam passes away and there are two beneficiaries, his son and daughter, do you split the account up for them and wait for then to claim the benefit? Or do you leave the funds in the deceased participant's account until they come calling?"

"Hi Veterinary, PLLC, 10 participants, 2 owners (50/50) and their spouses Controlled group with Corp X, LTD, employees are the spouses only and it does not perform veterinary services nor any other professional services. Is the DB plan covered by PBGC? Thanks"

"I am working for a multi-state organization that allows for Domestic Partner coverage. I have one vendor contract that requires individuals to cohabitate for 12 consecutive months in order to qualify as a Domestic Partners. In writing a company policy pertaining to the qualifications required to be a Domestic Partner, it would make sense use the most stringent set of rules presented in the collective contracts to develop our official policy. With that said, I'm wondering if this 12 month cohabitation rule might violate any state requirements? If a state's definition of domestic partnership does not require a 12 month cohabitation period and that state/local jurisdiction requires an employer to provide benefits to domestic partners, this creates a conflict. Curious to know how others might be handling things from a policy standpoint."

"A physician (of course) has owned a part of a business in his 401(k) account (yes we've been filing 990-Ts.) Now the partnership has been sold and he is receiving amounts in 3 installments 2023 (already received), 2024, and 2025. He says the plan is now closed since all cash has been paid out but there is an A/R for the other 2 payments. He says the other payments will be made to his Rollover IRA per his broker. I mentioned 5500s for two more years and likely required plan amendments. He sold his practice and so he wants the plan to go away naturally. The other option could be to file a 1099-R for the entire amount including the 2 receivable payments and so to treat the remaining two payments as receivable to the IRA. can an IRA hold an A/R or note? If not would the IRS match the plan 1099-R to the IRA rollover 5498? The other 2 payments might total $80 to $100K. And so our 1099-R woudl be very different than the 5498 filed by the recipient IRA. I know I can advise and he as Trustee and Plan Administrator can provide direction. Comments?"

"How is a buyer to treat cobra continuation coverage under the following circumstance: Seller has former employees who have elected mini-COBRA coverage pre acquisition. Seller will terminate the benefit plans so Buyer will have the obligation to provide COBRA to all M&A qualified beneficiaries which would include those individuals currently receiving mini-COBRA. Does Buyer continue to provide coverage for the mini-COBRA period (12 months) even if Buyer is a large employer and not eligible for mini-COBRA or does the COBRA continuation period increase for those already receiving mini-COBRA because Buyer is subject to the federal COBRA regulations? If you're aware of any guidance, PLRs, cases, please share."

"Is anyone aware of a list of approved VCP corrections? A co-worker recalled seeing a list (over ten years ago...) complied by someone which laid out a bunch of approved correction methods. I have not been able to find such a list, and I'm not sure how someone would even have access to this info to create such a thing. Thanks!"

"In January 2023 an HSA account holder intended to contribute x amount toward the 2022 tax year. Howeever, in error, he contributed the funds toward the 2023 tax year. In February 2023 all funds are transferred to a new HSA trustee in a trustee-to-trustee transfer. In March the account holder realizes the error and requests to have the January contribution recoded as a 2022 contribution. What obligation does the new trustee have to make this correction? How will this correction affect the trustee's 5498-SA filing?"

"I'm looking at a 5500 Schedule I that was prepared for an ESOP. Diversification elections were made, whereby assets were transferred to the employer's 401(k) plan. The Schedule I, Line 5b, does NOT show these transfers. It seems to me, reading the instructions (excerpt below) that this should have been reported on Line 5b? They were included on the distribution line on the 5500 itself. I don't know how critical this is, in real life terms. If it was reported incorrectly, at least it was 'reported' -- if the DOL audited the report, maybe just an 'oops -- reported on wrong line' and do amended 5500 form(s)? I have no idea how far back this goes."

"We have a potential new client, who plans to employee their 10-year old son (I'm not really sure of the specifics, to be honest). So the question is: [1] Can someone legitimately have a 10-year old on their payroll? [2] If they are allowed to be on payroll, could they then allow them to participate in the 401(k) Plan?"

"Did a proposal for 2022 for a one lifer. They said to go ahead, asked for w-2 and when I got it, there were 2 listed. CPA said the other was part-timer and terminated in 2022. Insisted on DOH and DOT. Surprise surprise, DOH early 2021 with DOT late 2022. I asked for hours and of course, full-time employee. Can set up the plan with 3 year cliff and/or 2/20 with no prior service before 1/1/2022 aka effective date of the plan. Not sure how the partial termination would play here as employee is not replaced. What do you think on this? The question here: Is it ok to set up the plan now with 2 year wait (100% vesting is not an issue as it is only the owner)? This is unchartered territory for me and not sure about discrimination issues."