Help - Search - Members - Calendar
Full Version: DB plan, 403(b) plan, and new DC plan
BenefitsLink Message Boards > Retirement Plans > Retirement Plans in General
pax
Not my bailiwick, so bear with me

Facts
- DB plan will be frozen to new participants. Freeze not applicable to current participants.
- Match in 403(b) plan will be increased for all participants; otherwise, no changes to 403(b) plan.
- New employees (no longer eligible for the DB plan) will receive a non-discretionary DC contribution. DB plan participants not eligible for this.
- Since the DB plan will eventually have a problem with coverage under 410(b), the plan is to aggregate it with the new 1% DC account.

Question
Can the DC account be aggregated for the ABPT if part of the 403(b) plan or will a 401(a) plan be required?

My analysis
401(a) plan will be required, per Reg. 1.410(b)-7(f).

However, that Reg. was last amended in 1994. Any IRC changes that would produce a different result? Any other relevant issues? What am I missing?
AndyH
You are correct. Contributions to 403(b) plans cannot be aggregated with contributions to 401(a) plans for 401(a)(4) or 410(b) testing of the 401(a) plan.
This is a "lo-fi" version of our main content. To view the full version with more information, formatting and images, please click here.
Invision Power Board © 2001-2009 Invision Power Services, Inc.