I am trying to determine if I can do in one profit sharing plan, what I know I can do in two. Assume a profit sharing plan where all employees employed on the last day of the plan year are eligible for a contribution allocation. Assume two different and distinct nondiscriminatory allocation formulas, Formula A and Formula B, with each one covering all eligible employees and each one satisfying all nondiscriminaiton requirements standing on its own. Can the Plan be drafted so that the Formulas are alternative formulas for any given Plan Year -- i.e., allocations will be made under A (unless made under b) or will be made under B (unless made under A). The Employer would then choose which one to use, perhaps making the determination after Plan Year end, but prior to due date of Plan contributions for the year? This certainly can be done with two different Profit Sharing Plans covering all employees, with the Employer choosing which one to fund on a year by year basis...so it would seem that it should work in one plan as well. Any thoughts on this would be appreciated. Thanks.

I'm not sure. I've never seen one like that. But I would note that contributions and benefits in a profit sharing plan don't have to be definite -- the only thing that is "definite" is the allocation formula. So that might suggest that you can't have variable allocation formulas in the same plan.

Why don't you just write the document to look like a new comparability plan, only you won't necessarily be testing it that way?

What type of "formulas" are you showing in a profit sharing plan anyway?