2009 Instructions For Schedule R (Form 5500) Retirement Plan Information Page 2


under Code section 412(e)(2). These exceptions include
Line 7. Check “Yes” if the minimum required contribution
profit-sharing or stock bonus plans, insurance contract plans
remaining in line 6c will be made not later than 8
months after
described in Code section 412(e)(3), and certain plans to which
the end of the plan year. If “Yes,” and contributions are actually
no employer contributions are made.
made by this date, then there will be no reportable deficiency
and IRS Form 5330 will not need to be filed.
Nonqualified employee pension benefit plans are subject to
Line 8. Revenue Procedure 2000-40, 2002-2 C.B. 357,
the minimum funding requirements of ERISA section 302
providing for automatic approval for a change in funding method
unless specifically exempted under ERISA sections 4(a) or
for a plan year, generally does not apply unless the plan
administrator or an authorized representative of the plan
The employer or plan administrator of a single-employer or
sponsor explicitly agrees to the change. If a change in funding
multiple-employer defined benefit plan that is subject to the
method made pursuant to such a revenue procedure (or a class
minimum funding requirements must file Schedule SB as an
ruling letter) is to be applicable for the current plan year, this
attachment to Form 5500. Schedule MB is filed for
line generally must be checked ‘‘Yes.’’ In certain situations,
multiemployer defined benefit plans and certain money
however, the requirement that the plan administrator or an
purchase defined contribution plans (whether they are
authorized representative of the plan sponsor agree to the
single-employer or multiemployer plans). However, Schedule
change in funding method will be satisfied if the plan
MB is not required to be filed for a money purchase defined
administrator or an authorized representative of the plan
contribution plan that is subject to the minimum funding
sponsor is made aware of the change. In these situations, this
requirements unless the plan is currently amortizing a waiver of
line must be checked “N/A.” See section 6.01(2) of Rev. Proc.
the minimum funding requirements.
2000-40. If the plan’s change in funding method is not made
pursuant to a revenue procedure providing automatic approval
Line 4. Check ‘‘Yes’’ if, for purposes of computing the
or a class ruling letter (e.g., it is pursuant to a regulation or
minimum funding requirements for the plan year, the plan
Notice 2009-22), then this line should be checked “N/A.”
administrator is making an election intended to satisfy the
requirements of Code section 412(d)(2) or ERISA section
Part III — Amendments
302(d)(2). Under Code section 412(d)(2) and ERISA section
Line 9.
302(d)(2), a plan administrator may elect to have any
Check “No” if no amendments were adopted during this plan
amendment, adopted after the close of the plan year for which it
year that increased or decreased the value of benefits.
applies, treated as having been made on the first day of the
Check “Increase” if an amendment was adopted during the
plan year if all of the following requirements are met:
plan year that increased the value of benefits in any way. This
1. The amendment is adopted no later than two and
includes an amendment providing for an increase in the amount
one-half months (two years for a multiemployer plan) after the
of benefits or rate of accrual, more generous lump sum factors,
close of such plan year;
COLAs, more rapid vesting, additional payment forms, or earlier
2. The amendment does not reduce the accrued benefit of
eligibility for some benefits.
any participant determined as of the beginning of such plan
Check “Decrease” if an amendment was adopted during the
year; and
plan year that decreased the value of benefits in any way. This
3. The amendment does not reduce the accrued benefit of
includes a decrease in future accruals, closure of the plan to
any participant determined as of the adoption of the
new employees, or accruals being frozen for some or all
amendment unless the plan administrator notified the Secretary
of the Treasury of the amendment and the Secretary either
If the amendments that were adopted increased the value of
approved the amendment or failed to disapprove the
some benefits but decreased the value of others, check “Both.”
amendment within 90 days after the date the notice was filed.
Part IV — ESOP Information
See Temporary Regulations section 11.412(c)-7(b) for
Line 11b. A loan is a “back-to-back loan” if the following
details on when and how to make the election and what
requirements are satisfied:
information to include on the statement of election, which must
be filed with the Form 5500 annual return/report.
1. The loan from the employer corporation to the ESOP
qualifies as an exempt loan under DOL regulations at 29 CFR
Line 5. If a money purchase defined contribution plan
2550.408b-3 and under Treasury Regulations sections
(including a target benefit plan) has received a waiver of the
54.4975-7 and 54.4975-11; and
minimum funding standard, and the waiver is currently being
2. The repayment terms of the loan from the sponsoring
amortized, complete lines 3, 9, and 10 of Schedule MB. See
corporation to the ESOP are substantially similar to the
instructions for Schedule MB. Attach Schedule MB to Form
repayment terms of the loan from the commercial lender to the
5500. The Schedule MB for a money purchase defined
sponsoring employer.
contribution plan does not need to be signed by an enrolled
Part V — Additional Employer Information for
Line 6a. The minimum required contribution for a money
Multiemployer Defined Benefit Pension Plans
purchase defined contribution plan (including a target benefit
Required Attachments. Multiemployer defined benefit plans
plan) for a plan year is the amount required to be contributed for
that are in Endangered Status or Critical Status must attach a
the year under the formula set forth in the plan document. If
summary of their Funding Improvement Plan or Rehabilitation
there is an accumulated funding deficiency for a prior year that
Plan (as updated, if applicable) and also any update to a
has not been waived, that amount should also be included as
Funding Improvement Plan or Rehabilitation Plan. For this
part of the contribution required for the current year.
purpose, whether a plan is in Endangered Status or Critical
Line 6b. Include all contributions for the plan year made not
Status is determined by taking into account any election under
later than 8
months after the end of the plan year. Show only
section 204 of the Worker, Retiree, and Employer Recovery Act
contributions actually made to the plan by the date the form is
of 2009 (“WRERA”). The instructions for line 4a of Schedule MB
filed. For example, do not include receivable contributions for
provide that the Plan Status Code entered on line 4a of
this purpose.
Schedule MB must be based on the actuarial certification of the
Line 6c. If the minimum required contribution exceeds the
plan’s status, without regard to the election under section 204 of
contributions for the plan year made not later than 8
WRERA. In certain cases, as a result of the WRERA election,
after the end of the plan year, the excess is an accumulated
the plan status for purposes of attaching a summary of the
funding deficiency for the plan year. File IRS Form 5330,
multiemployer plan’s Funding Improvement Plan or
Return of Excise Taxes Related to Employee Benefit Plans,
Rehabilitation Plan to the Schedule R may not be the same as
with the IRS to pay the excise tax on the deficiency. There is a
shown by the Plan Status Code entered on line 4a of Schedule
penalty for not filing IRS Form 5330 on time.
MB. In such a case, an explanation of why the plan’s status is
Instructions for Schedule R (Form 5500)


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