PPA Restatement for Individually Designed Plan
Here is a question that I have regarding a plan document. I took over a couple of plans as the TPA from a partner who retired back in 2016 from our firm. When the partner retired, they provided me the...
View ArticleTrustee Documents on Cycle 3 restatements
Since the new rule with trustee agreements not being pre-approved, I have seen some things I am not accustomed to. Specifically, I have seen documents executed with the only trust agreement being...
View ArticleAmend to allow in-service for age 45 + 10 YOP
Client wants to amend to allow in-service distributions at age 45 + 10 years of participation from reg match and ps. The document is PPD VS 401k document, and while I could do those two options...
View ArticleWhich plan document does Ascensus use?
Does anyone know which plan-documents supplier—Relius, ASC, ftwilliam, someone else—Ascensus/FuturePlan licenses from?
View ArticlePrototype documents and each participant being their own allocation group.
Are prototype documents allowed to use language that effectively allows for each participant to constitute their allocation group for purposes of a profit sharing allocation? Effectively the employer...
View ArticleWhat if a § 401(a) plan matches a governmental § 457(b) deferral?
Some governmental employers allocate a matching contribution under a § 401(a) plan on a participant’s deferral under a § 457(b) plan. Does any provider’s IRS-preapproved document allow a user to...
View ArticleAmendment to Change Vesting. Which schedule does a new participant follow?
We have a 401k/PS plan that provided 100% vesting for Employer discretionary PS contributions. When we prepared the cycle 3 restatement, we included a change in that vesting schedule making it 2-6...
View ArticleTerminating before 7/31/22 to avoid restatement
I understand a plan is not required to restate if it terminates prior to 7/31/22, albeit it must be fully up to date, including at this time the Hardship and SECURE amendments. That being said, if a...
View ArticleWhat do you choose as a plan’s restatement date?
An IRS-preapproved plan’s adoption agreement has a fill-in for the effective date of the cycle 3 restatement. (But that date does not apply to a provision for which the basic plan document, the...
View ArticleMoney Purchase Plan
Does anyone know of a document vendor that has a Money Purchase plan with mandatory employee contributions (not a governmental plan).
View ArticleRemoving a Trustee
I've done this before but it was not during a restatement year. A small plan (husband, wife, 1 employee), husband and wife are divorcing. Can I simply prepare the Cycle 3 restatement docs and take...
View ArticleDocument provider
For 30+ years, I drafted plan documents for clients and consulted them when issues arised. Most of my clients (small professional practices) used a local investment adviser/broker to invest plan...
View ArticleEffective Date of Cycle 3 Restatement 1 Day After Deadline?
I have a client that wants to introduce significant design changes effective August 1, 2022. This is one day after the deadline to "adopt" Cycle 3 (Post PPA) restatements. If the document is signed...
View ArticleDiscretionary Amendment - Amending Forfeiture Allocation Methods -...
The Plan document currently provides that forfeitures may be allocated to Nonelective Contributions and to pay Plan Expenses. The Employer would like to amend the Plan to allow forfeitures to be...
View ArticleCycle 3 late adopter
So today one of our very few clients not on our document, tells me he just now is seeing my communication regarding the restatement deadline. I reminded these clients to contact their document...
View ArticleEarly Inclusion Amendment
When drafting the Corrective Amendment for early inclusion, it is required to add the Participants specifics; DOB, DOH and date they were let into the plan ? Or can I just add the Year into which they...
View ArticleSummary of Material Modifications required
We have had an unusual situation posed to us as a hypothetical issue, although I'm pretty nearly certain it is real - pretty hard to dream this up. A group of several large 403(b) plans (not a...
View ArticleRelius/Sungard QNEC/QMAC Forfeiture Amendment
Does anyone have access to the Relius/Sungard amendment for a Money Purchase Volume Submitter plan? Looking for one for a takeover client.
View ArticleRetroactive amendment to change eligibility
Client has a 401k plan with age 21 and 12 mos service requirement for the purpose of employee deferrals, matching, and profit share. The client hired two employees earlier this year, both of whom are...
View ArticleRetroactive Amendment
For the CCYLE 3 Restatements, we went from FIS/Relius Volume Submitter to ASC (non-standardized Adoption Agreement). While the Relius document had default language that a "discretionary" Safe Harbor...
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