A dental practice is owned by two dentists' individual corporations. In April 2018, one of the dentists sells his part of the practice to another dentist, whose individual corporation now becomes the new partner. The partnership has a 401(k) plan. The new dentist's corporation also has a 401(k) plan. If the new dentist's corporation does not adopt the partnership's plan, can the new dentist operate his existing plan separately under the coverage transition rules? Or does the formation of the new partnership and ASG negate the coverage transition rules? If the coverage transition rules do apply, does the coverage transition period end if the new dentist's corporation adopts the partnership's plan (that is, before the end of the allowed transition period)?

We have a client that just informed us that they would like to convert their FYE 11/30 safe harbor plan to a FYE 12/31 safe harbor plan, so we would basically have a 12 month SH plan that ran from 12/1/17 to 11/30/18, then a 1 month SH plan (12/1/18 to 12/31/18) followed by a 12 month SH plan (1/1/19-12/31/19). Hence we would meet the requirements to make this change and keep the SH status intact. My issue is the timing of the amendment, because the short plan year has started already. The ERISA Outline Book indicates that the amendment should be signed BEFORE the short plan year began, which has not. Has anyone else run into this issue? Or has there be some further guidance that the amendment can be signed after the short plan year begins, but before ends? Also a concern: should a new SH notice have been provided by 12/1/18 for the 2019 PY? (By the way, the plan provides a safe harbor non-elective contribution of 3%.)

A plan has a fraud prevention procedure that delays issuing a participant loan request by a couple of days after the request is made. A participant's vested balance is $10,000 on the day they request a $5,000 loan. The market drops during those 2 days so their vested balance is $8,600 when the loan is issued. Can the plan issue a loan for $5,000 or must they redo the amort schedules etc. and only issue a loan for $4,300?

A 401(k) plan permits rollovers for participants only. A recordkeeper permitted an employee to roll over funds before he met the plan's eligibility requirements. They did not check with TPA. We found out about the rollover because the employee tried to obtain a loan from the [lan -- which was denied. When we requested that the recordkeeper disgorge the funds, they never acted on the request. Because the plan has a 3 month waiting period, the employee is now eligible. If the funds stay in the plan (with investments handled by the trustee), should we do an amendment to permit this employee early participation for rollover purposes? If not, what are the ramifications? This is an audited plan.

What regulations direct fees for rollovers?

Do we have until the end of the 410(b)(6)(C) grace period to align the HCE definition?

Client maintains standalone 401k with match. Had he given appropriate notice of safe harbor by Nov 30, would it have been possible to amend the plan effective 1/1/19 to a safe harbor match? Many employees are not contributing, causing both ADP and ACP to fail. It's a standalone plan -- the employer has not used the PS potion of the plan and does not plan to. What does he do with the other already in the plan? Obviously, they are counted as participants and not match, but what about top heavy contribution?

Anyone have a decent forfeiture transactional report that they might be willing to share?

Does anyone prepare Form 945s and complete the "paid preparer use only" section of the form? If you do, do you have a PTIN? We let our PTINs lapse because they are not required for Form 5500 preparers. But the Paid Preparer section asks for the PTIN.

Taking over a plan where NRA is just 55. Are there any special rules to be aware of? Is there any way to use an older age for testing? I've read there are complications with using SSRA in place of NRA. Any ideas? Also, does anyone have an extended chart of disparity factors? The one I am using (which is from the regs) only spans 60 to 70. I think the regs say you can use any reasonable method to extend up or down.