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There is no 45-day requirement in the law or regulations. 1.401(k)-3(d)(3)(i) requires that the safe harbor notice be provided to participants "within a reasonable period before the beginning of the plan year." Subparagraph (ii) provides a safe harbor that the timing requirement is deemed satisfied if the notice is provided no less than 30 and no more than 90 days before the beginning of the year. The service provider may have an internal process that they can not update the plan specifications less than 45 days before the end of the year and still comply with the 30 day safe harbor. Plans using the nonelective contribution to satisfy the ADP safe harbor are no longer required to provide a notice at all, since SECURE 1.0. However a notice is still required if the plan wants to satisfy the ACP safe harbor, even if using a nonelective contribution.

There is no fee. See https://www.irs.gov/retirement-plans/updated-irs-correction-principles-and-changes-to-vcp-outlined-in-epcrs-revenue-procedure-2021-30 and select Anonymous VCP submission changes.

But might company A and company B be under common control or otherwise comprise one employer under Internal Revenue Code § 414(b)-(c)-(m)-(n)-(o)?

Take a look at IRM Part 7: Exhibit 7.11.7-1 Specific Law Provisions and How They Apply to a Multiple Employer Plan Code Section Must be Met by Multiple Employer Plan Must be Met by Each Participating Employer Authority IRC 401(a) - Qualification requirements Yes 26 CFR 1.413-2(a)(3)(iv) IRC 401(a) -Exclusive benefit rule Yes IRC 413(c)(2) and Professional Employer Organization Rules in Rev. Proc. 2002-21 IRC 401(a)(4) - Nondiscrimination Yes 26 CFR 1.413-2(a)(3)(iii) and 26 CFR 1.401(a)(4)-1(c)(4) IRC 401(a)(26) - Minimum Participation (DB Plans) Yes 26 CFR 1.401(a)(26)-2 IRC 401(k) /IRC 401(m) - ADP/ACP Yes 26 CFR 1.401(k)-2(a)3(ii)(A) and 26 CFR 1.401(k)-1(b)(4) IRC 404 - Deduction Adopted before 1989 Adopted after 1988 IRC 413(c)(6) IRC 410(a) - Eligibility Yes IRC 413(c)(1) IRC 410(b) - Coverage Yes 26 CFR 1.410(b)-7(c)(4)(i)(A) and 26 CFR 1.410(b)-7(c)(4)(ii) IRC 411 - Vesting Yes IRC 413(c)(3) and 26 CFR 1.413-2(d) IRC 412 / IRC 430 - Funding Adopted before 1989 Adopted after 1988 IRC 413(c)(4) 26 CFR 1.414(l)-1 - Mergers or Transfer of Assets - see note below Yes 26 CFR 1.414(l)-1(b)(1) IRC 414(q) - Definition of Highly Compensated Employee Determination is made separately by each adopting employer 26 CFR 1.414(q)-1(T) Q&A-1 IRC 414(v) - Catch-up Contributions Yes 25 CFR 1.414(v)-1(f) IRC 415 - Limitations on Benefits All compensation is included 26 CFR 1.415(a)-1(e) IRC 416 - Top-Heavy Yes 26 CFR 1.416-1, Q&A G-2 and T-8

This is one of those areas where you want to make sure you are in line with industry practices, regardless of what your contracts say. You may also want an indemnity from the sponsor for any distribution that is made pursuant to your policies and procedures and is later determined to be fraudulent. I do know one TPA I remember verified the address with the employer when checks were issued, but I believe they were a 3(16). I also know there is a service called GIACT that a lot of RKs use that verifies the bank account when ACHs are used, to ensure the same name and birthdate are associated with the account as with the participant. I would find out what the RK has in place on this front. The biggest issue is encouraging sponsors to educate their employees about using secure passwords, Phishing and Spear Phishing attempts, these are honestly one of the biggest sources of fraud. Good article on the types and ways people are vulnerable to ATO: https://www.security.org/digital-safety/account-takeover-prevention/

EBECatty, I have never run into this but I will point out that the Tax Adviser article I linked to in my prior post indicates that while a grantor trust is usually required to file a 1041, there are apparently alternatives explained in regs or 1041 instructions. I did not read in depth but you may want to review.

If the plan provides a nonelective contribution determined more often than yearly, consider also how and when within or regarding a year the plan’s provisions (and an employer’s and a plan administrator’s practical operations) apply a § 401(a)(17) limit. For example, if one seeks to apply quarter-yearly 2025’s $350,000 limit to that year’s wages of $500,000: Some might determine the 5% nonelective contributions as $4,375 for each of the four quarter-years [($350,000 / 4) = $87,500 x 5% = $4,375]. Others might determine: 2025q1 $6,250 [$125,000 x 5%] 2025q2 $6,250 [$125,000 x 5%] 2025q3 $5,000 [$100,000 x 5%] 2025q4 $0 [$0 x 5%] sum $17,500 (Or if a nonelective contribution is determined monthly, the nonelective contribution might be full for the first eight months, partial for September, and none for the last three months.) 26 C.F.R. § 1.401(a)(17)-1(b)(3)(iii)(B) https://www.ecfr.gov/current/title-26/part-1/section-1.401(a)(17)-1#p-1.401(a)(17)-1(b)(3)(iii)(B). I merely describe what some employers do, perhaps unwisely; not what’s correct or incorrect. And as always, RTFD—Read The Fabulous Document (even if the document is gibberish). In my experience, a charity’s executive generally prefers not applying the § 401(a)(17) limit until that much compensation has been paid. That’s especially so if one recognizes any possibility that her employment might end, whether by the executive’s doing or the charity’s doing, before the year ends. This is not advice to anyone.

Yes, 5% of $345,000, the 2024 comp limit. The plan document should specify all that.

An answer would require a review of your trust and related documents, but rabbi trusts are grantor trusts and so not taxpayers/not required to have an EIN. If the rabbi trust participants are entitled to gain on assets (i.e., gain goes into the measurement of their benefit), I suppose that having an EIN for the trust might be beneficial from a housekeeping standpoint by keeping investment return reports (1099-INTs, -DIVs, etc.) separate, but it would not be necessary and the employer grantor of the trust would need to understand that everything reported as income of the trust under its EIN is from a tax perspective the income of the employer, so needs to go on its 1120-whatever. Again, I have not reviewed your documents or arrangement, but if you really have what the IRS letter rulings and folks in the biz refer to as a "rabbi trust," it will not be filing a 1041.