"We have a plan that terminated as of 12/31/24, but we just found out that there was a residual that came in during 2025 and then immediately paid out. How do people handle this type of situation? Do we just file the 12/31/24 as the final? Or do we have to do an additional 5500 showing the money in and out in '25 (which is a small amount)?"

"Employer is just setting up a SEP Plan for a group, 5 employees during the year:

1. Can you have a last day requirement to get a contribution?
2. Can you have an eligibility period? If so, can it be setup similarly to a 401(k) Plan? Are there specific rules?'

"We are being referred a chicken/egg farm. There are maybe 5 US citizen FT employees and maybe 20 foreigners on a work visa. The sponsor does not want to cover them. I'm reading that if they have US based wages they are not a non-resident alien. Well they always have wages in the US. They come and go frequently. The plan will exclude those under the 'part-time' rule and I realize the implications if they do go over 1000 hours and the LTPT issue. I will also include exclude by job classification in the document. What is helpful is that there are no owners or other HCEs to be covered by the plan. Given no HCEs, I think I'm good on the coverage test by including the 5 US citizen FT employees but excluded the 20+ foreign workers. Agree?"

"We use the Corbel PT formatted Adoption Agreement and there is an option for loans that basically says 'all outstanding loans will become due and payable in their entirety upon severance of employment....' Can someone please explain to me why I have been checking that box on all of my plans for 20 years ? It doesn't change when it's taxable. I assume it doesn't affect a loan offset? Or maybe that's it."

"A new 401k plan is adopted in March 2024 with deferrals effective 7/1/2024, but all other provisions, including the SH Match provisions, have no delayed effective date. I am probably overthinking this, but logic tells me that compensation paid in the period before the employee could even make deferrals (1/1/-6/30) would not be counted when calculating the match. Since the match is tied to the employee deferrals, is there any situation where the IRS would include the compensation before the effective date of deferrals in that SHM calculation?"