"So we taking over a Cash Balance Plan that's terminating and distributing the money to the participants (2 owners and 1 employee). It's a non-PBGC Plan. The Plan is fully funded, and also has a credit balance displayed on the previous SB. My questions is, how do we handle the Credit Balance on the final SB? Is it still displayed, even if all of the money is distributed from the Plan? Should the assets be distributed, with an excess given pro rate to the three participants?"

"I have a new client who told me about a program he is running in his company. It is a company that provides clean water to different countries, and employees individuals (non US Citizens) in those companies to run their programs on site -- the company also has a US Staff.

"While discussing his new 401(k) he told me about what he call an Investor Program. In short -- he asks for individuals (Employees and others as stated above) to invest in the business, and promises them an 8% ROI. He takes their funding and utilizes it for Business Operating Expenses. Investors can withdraw these funds at any time they like -- with the gain attached (although when pressed -- the business owner said he can change that ROI if need be. Nothing is in writing -- and the funds are just tracked in some random spreadsheet.

"He currently has 1.4 Million in Invested Dollars from these Individuals -- but not in liquid cash -- just invested in the Business. He doesn't legally have the right to issue Bonds that I am aware of....and this feels a lot like a Ponzi Scheme. I asked him what he would do if everyone wanted their money at once -- but he had no answer other than to liquidate the business to pay them out.

"I am fairly certain this is illegal -- and my history with this individual would certainly lead me to believe that he thinks himself as not required to obey laws he doesn't agree with....so I wanted to pose this question to the group. Could this structure be something that could be legal? If so, what would he need to do that make it so, or....is his best bet to stop this, get these investors paid out, and hope he never gets caught?"

"Trying to determine if a potential new client is an Affiliated Service Group. I don't think it is, but I wanted to be 100% sure: Client is a management company, working with 40+ different affiliates. While they have an ownership stake in each one, it is far less than the requirement to be a Controlled Group, and each individual affiliate has a different owner. They perform management functions for each one, but obviously with more than 40, no one affiliate represents at least 50% of their functions (nor does it satisfy the receipt test) From the way I'm looking at it, it wouldn't be considered an Affiliated Service Group but I wanted to be 100% sure."