An employer can make contributions to the SIMPLE IRA of an employee who is 72 years old.

Late last year, a hurricane along the North Carolina coast devastated several coastal towns. Rebuilding efforts in the region earlier this year have boosted profits of nearby Benson Lumber Company to triple the profits of the previous year. The CEO and two highly paid executives at Benson have an established agreement with the company, which returns 30% of net profit to them in addition to their base salary. If demand continues through the rest of the year, the three top executives at Benson will receive three times last year’s salary. Benson’s best case for establishing “reasonableness of compensation” is

Objectives that employers have for benefit plans include

June Tandy is covered under a SIMPLE IRA at Barker Jones Auction House where she is employed. This year, no salary deductions or employer contributions were allocated to her SIMPLE IRA. If June makes a contribution to her personal IRA this year, her deduction limit will be based on those applying to a person who is not an active participant in a qualified retirement plan.

Which of the following are advantages of cash compensation?(I)it must meet the reasonableness test for deductibility(II)it is easier to budget than non-cash benefits(III)ERISA regulations are not normally involved(IV)cash compensation paid currently is currently taxable as ordinary income

Following ERISA guidelines for qualified plan investments generally results in selecting from a rather narrow range of investment strategies.

An employee can use an employer-provided legal service plan to obtain legal advice on a divorce proceeding.

For purposes of PTE 92-6, disqualified people who could not purchase life insurance for you from a qualified plan include your sibling’s spouse.

What is the usual tax treatment of unfunded severance plan payments?

For the planning process, it is helpful to have employee census information for