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Does anyone know what the term "super comparability plan" me


John A

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I have heard of various terms for "new comparability" plans - third-generation, qualified bonus, super-integrated, etc. I had not heard the term "super comparability" before. Can someone explain what a "super comparability" plan is and where this term came from? Thanks.

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I suspect its the same thing as super-integrated.

isn't it odd how the terminology has evolved.

I have heard many use the term age-weighted to mean any cross tested plan.

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  • 2 weeks later...
Guest Pete Alles

I was digging for info on cross-tested plans and found an article defining qualified bonus retirement plans, second and third generation plans, and super-integrated new comparability plans. Its in the Journal of Pension Benefits titled "The Qualified Retirement Bonus Plan", Fall 1996. The author,Kevin Fliege, refers to the super-integrated plan as using a formula similar to normal safe harbor integrated formulas, but ignoring limitations to the formulas because the plans are general tested. The plans might use a contribution formula such as 3 percent of pay, plus 50 percent in excess of $100,000. He says the qualified bonus retirement plan is a third generation new coparability plan that differs from second generation new comparability plans in that contributions are tied to performance incentives, such as bonuses.

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Guest rshawlaw

Super comparability is the term I have heard for the design utilizing both 401(k) 3% nonelective safe harbor and new comparability. Because the 3% safe harbor contribution provides triple-duty (avoids ADP testing, satisfies top-heavy minimums, and performs the foundation for the new comparability formula), you have more than just new comparability:"super comparability."

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RWS

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