2009 Instructions For Schedule Sb (Form 5500) Single-Employer Defined Benefit Plan Actuarial Information (Page 8 of 11) in pdf

Expand this schedule by adding columns after the “5 to 9”

In lieu of the above, two alternatives are provided for

column and before the “40 & up” column for active participants

showing compensation and cash balance accounts. Each

with total years of credited service in the following ranges: 10 to

alternative provides for two age/service scatters (one showing

14; 15 to 19; 20 to 24; 25 to 29; 30 to 34; and 35 to 39. For

compensation and one showing cash balance accounts) as

each column, enter the number of active participants with the

follows:

specified number of years of credited service divided according

Alternative A:

to age group. For participants with partial years of credited

•

service, round the total number of years of credited service to

Scatter 1 — Provide participant count and average

the next lower whole number. Years of credited service are the

compensation for all active participants, whether or not

years credited under the plan’s benefit formula.

participants have account-based benefits.

•

Scatter 2 — Provide participant count and average cash

Plans reporting 1,000 or more active participants on line

balance account for all active participants, whether or not

3c(3), column 1, must also provide average compensation data.

participants have account-based benefits.

For each grouping, enter the average compensation of the

active participants in that group. For this purpose,

Alternative B:

compensation is the compensation taken into account for each

•

Scatter 1 — Provide participant count and average

participant under the plan’s benefit formula, limited to the

compensation for all active participants, whether or not

amount defined under section 401(a)(17) of the Code. Do not

participants have account-based benefits (i.e., identical to

enter the average compensation in any grouping that contains

Scatter 1 in Alternative A).

fewer than 20 participants.

•

Scatter 2 — Provide participant count and average cash

In the case of a plan under which benefits are primarily

balance account for only those active participants with

pay-related and under which no future accruals are granted

account-based benefits. If the number of participants with

(i.e., a “hard-frozen” plan as defined in the instructions for plan

account-based benefits in a bin is fewer than 20, the average

characteristic “1I” applicable to line 8a of the Form 5500), report

account should not be shown even if there are 20 or more

the average annual accrued benefit in lieu of average

active participants in this bin on Scatter 1.

compensation. Include a note on the scatter indicating that the

plan is “hard frozen” and the average accrued benefits are in

In general, information should be determined as of the

lieu of compensation.

valuation date. Average cash balance accounts may be

determined as of either:

Cash balance plans (or any plans using characteristic code

1C on line 8a of Form 5500) reporting 1,000 or more active

1. The valuation date or

participants on line 3c(3), column 1, must also provide average

2. The day immediately preceding the valuation date.

cash balance account data, regardless of whether all active

participants have cash balance accounts. For each age/service

Average cash balance accounts that are offset by amounts

bin, enter the average cash balance account of the active

from another plan may be reported either as amounts prior to

participants in that bin. Do not enter the average cash balance

taking into account the offset, or as amounts after taking into

account in any age/service bin that contains fewer than 20

account the offset. Do not report the offset amount. For this or

active participants.

any other unusual or unique situation, the attachment should

General Rule. In general, data to be shown in each age/

include an explanation of what is being provided.

service bin includes:

If the plan is a multiple-employer plan, complete one or more

1. The number of active participants in the age/service bin,

schedules of active-participant data in a manner consistent with

2. The average compensation of the active participants in

the computations for the funding requirements reported in Part

the age/service bin, and

VIII. For example, if the funding requirements are computed as

3. The average cash balance account of the active

if each participating employer maintained a separate plan,

participants in the age/service bin, using $0 for anyone who has

attach a separate “Schedule SB, line 26 – Schedule of

no cash balance account-based benefit.

Active Participant Data” for each participating employer in the

If the accrued benefit is the greater of a cash balance benefit or

multiple-employer plan.

some other benefit, average in only the cash balance account.

If the accrued benefit is the sum of a cash balance account

Line 27. Alternative Funding Rules. If one of the alternative

benefit and some other benefit, average in only the cash

funding rules was used for this plan year, enter the appropriate

balance account. For both the average compensation and the

code from the table below and follow the special instructions

average cash balance account, do not enter an amount for age/

applicable to that code, including completion of any required

service bins with fewer than 20 active participants.

attachments.

Schedule SB, Line 26—Schedule of Active Participant Data

YEARS OF CREDITED SERVICE

Under 1

1 to 4

5 to 9

40 & up

Attained

Age

Average

No.

Comp.

Cash Bal.

No.

Comp.

Cash Bal.

No.

Comp.

Cash Bal.

No.

Comp.

Cash Bal.

Under 25

25 to 29

30 to 34

35 to 39

40 to 44

45 to 49

50 to 54

55 to 59

60 to 64

65 to 69

70 & up

-62-

Instructions for Schedule SB (Form 5500)

2009 Instructions For Schedule Sb (Form 5500) Single-Employer Defined Benefit Plan Actuarial Information Page 8

Related Articles

Related forms

Related Categories