A 401(k) plan is a defined contribution plan that is a cash or deferred arrangement. You can elect to defer receiving a portion of your salary which is instead contributed on your behalf, before taxes, to the 401(k) plan. Sometimes the employer may match your contributions. There are special rules governing the operation of a 401(k) plan. For example, there is a dollar limit on the amount you may elect to defer each year. The dollar limit is $11,000.

All reporting and disclosure requirements must be satisfied by the plan administrator. The completion of the forms which must be submitted when a participant enters the 401(k) plan, the preparation of series 5500 forms, a Summary Annual Report and a statement to participants of their account balance are a few of the administrative functions of a 401(k) plan.

In many instances, as long as the shares were purchased during the class period. However, you should make sure the Plan is not filing a claim on behalf of all class purchases. If you are no longer in a Plan, ask the Plan Administrator whether you should file on your own behalf. That depends on the Plan of Allocation in the case. Sometimes transactions with gains have a zero recognized claim. We Are ProudWe are proud to be ranked consistently among the top accounting firms in the Delaware Valley.

Actors employed through corporations will be eligible for employer contributions, however, they will not be eligible for salary deferrals.

No. But your participation ensures that you will be on the list of shareholders who are notified of how to claim their share of any recovery. You also have the right to pursue a claim individually, although it may not be efficient for you to do so from an economic standpoint.

Each year, the amount you can contribute to an IRA or 401(k) is governed by IRS rules. For 2006 the maximum amounts are $4,000 for an IRA and $15,500 (or 20% of annual compensation, whichever is less) for a 401(k). There are penalties for withdrawals before age 59½, as well as rules that dictate when you must begin withdrawing money.

A 401(k) is a fairly simple plan. It is set up by your employer as a set contribution retirement agreement. That means you are the one who pays into the plan, although your employer and the plan provider who offers your 401(k) do just about all the work. Your 401(k) contribution is automatically deducted from your paycheck each pay period. This money is taken out and invested before your paycheck is taxed.

Participants in a 401(k) plan generally have a decent number of different investment options, nearly all cases a menu of mutual funds. These funds usually include a money market, bond funds of varying maturities (short, intermediate, long term), company stock, mutual fund, US Series EE Savings Bonds, and others.

Your 401(k) plan helps you start regular investing, and stick with it. Your contributions are automatically deducted from your salary before you receive your check. Since the money is deducted from your gross income, you will have a lower taxable income, which means you will pay less in annual taxes. The money you save will accumulate on a tax-deferred basis. This means you pay no federal or state taxes on your contributions or investment earnings until you start withdrawing money from the plan.

long as your 401(k) balance is greater than $2,000, you can take up to 50% of your account balance for purposes of a loan (minimum loan amount is $1,000). There is a $75 loan origination fee and the loan is paid back through payroll deductions (the interest charged is prime plus 2%). Participants are also charged a $50 annual loan fee. Loan requests are made through the Great West Life Annuity and generally take about 2-3 weeks to process all the necessary paperwork.

For Employees: 401(k) plans are popular with employees because they are able to divert a portion of their salary into an account that is set aside for their retirement while simultaneously reducing their current tax bill. Employees are not required to pay income tax on these salary deferrals until they take the money out of the 401(k) plan, at some time in the future.

All reporting and disclosure requirements must be satisfied by the plan administrator. The completion of the forms which must be submitted when a participant enters the 401(k) plan, the preparation of series 5500 forms, a Summary Annual Report and a statement to participants of their account balance are a few of the administrative functions of a 401(k) plan.

A Roth 401(k) is a feature that allows participants to contribute to their retirement on an AFTER TAX basis. As long as the money remains in a plan for at least 5 years, the distribution (even the earnings!) will be TAX FREE.

of this time, the IRS has not finalized regulations about Roth 401(k) contributions. Therefore, distributions (including hardship distributions and loans) will not be able to be made from Roth 401(k) money until the final rules are issued. We expect these rules early in 2006. Of course, a participant would still have access to his account balance from other money sources.

You may contact Putnam Investments at 1-877-JIB-401K (1-877-542-4015) 24 hours a day, 7 days a week to obtain account balance information, to change investment funds, or to request a distribution or loan. Remember to have your PIN number available when you call. You may also obtain your account balance online at www.ibenefitcenter.mercerhrs.com. Yes, and it varies by year in accordance with IRS regulations.