401kAllTheWay Posted January 16, 2023 Share Posted January 16, 2023 Newbie here but nonetheless, determined there were a handful of missed profit sharing contributions from our annual profit-sharing calculations for the past two years. Do we calculate any missed earnings on these contributions and how is that done? Do we handle the earnings similar to missed salary deferrals through QNECs or is there another formula that would need to be calculated? Thank you. Link to comment Share on other sites More sharing options...
Bri Posted January 17, 2023 Share Posted January 17, 2023 Missed people should get earnings. (If this is a pool, use the trust's earnings rate that everyone else got. Otherwise something similar to 401k missed earnings isn't inappropriate.) A less-easy option could be just to re-do the allocations as they would have been allocated, were those individuals included properly. Could make a big mess, though, in terms of adjustments due among participants (who won't like any explanation as to why funds would be shifted out of their accounts). hr for me 1 Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now