Early Retirement

Question 1

Kyle took early retirement in 2014, at age 54. He requested the entire $60,000 account balance in his profit sharing plan be paid out to him.

Kyle participated in the plan since 1992. Identify the tax treatment for each of the following circumstances:

1. Kyle deposits the distribution check into a regular investment account.

2. Kyle deposits the distribution check into a new rollover IRA account within the 60-day time.

3. John arranges with the plan administrator to transfer his qualified plan account directly to an IRA he has just established.

Question 2

Write a 525- to 700-word summary on the ways in which restructuring a health care plan can produce real financial returns.

Consider and apply your knowledge of the costs and the benefits of changes and how these may boost productivity