Plan to which contributions are not being made, but which has not been formally terminated. The freezing of a keogh plan (hr-10) may occur in the following circumstances:
self-employed person stops contributing to the plan.
personal corporation is dissolved and stops contributing to the plan even though the employee of the personal corporation may continue in the same occupation.
self-employed person under the original plan may form a partnership or incorporate, necessitating the freezing of the original planand the establishment of a new plan.
Owners of a frozen plan must make sure the plan continues to conform to current regulations and continue to file annually FORM 5500. Annual administrative costs may be saved by terminating the frozen plan and rolling over its assets into a currently active qualified plant