austin3515 Posted September 16, 2020 Report Share Posted September 16, 2020 Ees with under 20 hours per week were excluded from participation, butt he document did not indicate that they were excluded. Have people tried to do VCPs for this to amend retroactively to exclude? Austin Powers, CPA, QPA, ERPA Link to comment Share on other sites More sharing options...
Mike Preston Posted September 17, 2020 Report Share Posted September 17, 2020 This is but one scenario of many that are similar. Success through EPCRS depends on the employer establishing employee expectations consistent with exclusion. Luke Bailey 1 Link to comment Share on other sites More sharing options...
Degrand Posted September 17, 2020 Report Share Posted September 17, 2020 Your bigger issue is that an employees with 19.25 hours a week would have 1000 hours during a plan year. They would participate in the Plan. Also, would an employee become a participant if he/she works 21 hours during one of the week? Link to comment Share on other sites More sharing options...
Flyboyjohn Posted September 17, 2020 Report Share Posted September 17, 2020 Yes we were successful with an anonymous VCP for a 403(b) plan where the "good faith" 2009 plan document failed to exclude the <20 hour/week employees but sponsor could demonstrate consistent application of the exclusion. Of course we were aided by the argument that the 2009 "good faith" document did not have to be perfect despite the Service's published position that eligibility errors could not be "corrected" when the preapproved 403(b) document was executed. Luke Bailey 1 Link to comment Share on other sites More sharing options...
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