"I have a Plan that's terminating. Can they allocate the Forfeiture Account to any active participant at the time of Plan termination? They had a few people who had been terminated for at least 6 years, 100% vested, that just refused to take their money from the Plan. They want to avoid giving money to them from the Forfeiture Account, if possible."

[Sponsored]

Organizations face complexities and risks in launching Enterprise Transformation Programs. Assess your readiness and gain insights from our leading practitioner. Discover how Enterprise Iron can assist your organization in navigating these challenges.

"Under SECURE 2.0, plan administrators do not have to furnish certain disclosures, notices, or plan documents to unenrolled participants if they provide the unenrolled participant with an annual reminder notice about the participant's eligibility to participate in the plan and any election deadlines. The unenrolled participant must have received the SPD when initially eligible. From what I've read about the unenrolled participant notice, the required content seems to mirror the safe harbor notice. Would you agree? With the SECURE 2.0 notice relief, is the 404a5 fee disclosure distributed to only (a) participants with an account balance and (b) newly eligible employees? Does an unenrolled participant need the 404a5 fee disclosure? What are your TPA firms doing? What documents are you telling your clients that they need to distribute by December 1st? For a non-safe harbor plan, what needs to be distributed to ongoing participants prior to 1/1 in a non-safe harbor plan? Just the QDIA (when needed) and fee disclosure? If the plan doesn't need to give a fee disclosure to an unenrolled participant, does than now create the need to draft a notice to unenrolled participants?"

"I got divorced and had a QDRO written up. My ex-husband works for the city of Chicago and he has been remarried twice after. If I get remarried, do I lose the rights to the money?"

"Notice 2023-54 provides relief for missed 2021, 2022 and 2023 RMDs for a non-eligible designated beneficiary of an IRA or DC plan. What about a missed RMD for a non-eligible designated beneficiary of a DB plan participant?"

"Does anyone use Congruent Solutions for administration/distributions in their TPA office? Any feedback? Are there any other companies that offer administration?"

"Some 401(k) plans exclude job classes, like per diems, from participation. In 2024, LTPTs must be allowed to defer, even if in excluded job classes. For simplicity, some employers are thinking it would be easiest just to include the excluded classes for deferrals only. The problem occurs with the safe harbor regulations which require that any employee allowed to defer must receive a safe harbor contribution. The Secure Act clearly states that LTPTs do not have to receive safe harbors. However, that does not apply to full time employees in the excluded class. So we have bizarre situation (not unusual for hospitals) that, starting in 2024 LTPTs must be allowed to defer. Full time per diems (1,000+ hrs.) cannot be allowed to defer unless they receive a safe harbor contribution. It's bizarre, but I'm thinking the only way to address this is to have a separate plan for all excluded per diems, subject to standard testing, and allow all of them to defer. with only a single plan, it's impossible to tell per diems with 1,000 hours they can't defer but those with lesser schedules can defer. A separate plan for this excluded class (deferrals only, subject to testing, which won't be an issue because none are HCEs) seems to be the only way to handle this. I'd love a better answer. Anyone?"

"Plan is terminating due to business closure and there is still once active participant who wants to do a personal contribution strictly from his funds directly into the 401k plan. Personal contribution (with no funds coming from the Company) is this permissible?"

"I misfiled a Solo 401k with Schwab. I thought I was a 1099 employee, but I am a K-1. I now need to get the IRS to send Schwab a letter of permission to release the funds. I was directed by Schwab to this website to fill out a Letter of Instruction and then include the Date of Contribution, Amount of Principle, and How to Pay Back. However, after looking into this further, to submit an explanation to the IRS, I will need to create an account at pay.gov. From here, it looks like I will need to submit form 8950. This form requires a minimum fee of $1,500. Seems really high and can not believe they charge this. I tried to see if there was a way I could get this waived, however I don't think my plan qualifies for the orphan plan, which is mentioned here. What is the best way to resolve this?"