pbarrett

We have a client using a standarized 401(k) plan document, with the provision that forfeitures will reduce match contributions. There are no highly compensated participants in the plan. The match is $1 for $1 up to $1,000. The company has high turnover and wants to net the match contribution. For example, assume during the '98 plan year 3 participants deferred $1,000 each. All three particpants quit before becoming 20% vested. Can the employer contribute a $0 match on their behalf? Or must the employer contribute the $3000 for '98 and then have it forfeited out? Thanks for your help.

Is it possible to set up a 401(k) plan with a vesting schedule tied to the participation in the plan versus the length of service? Thanks for any input.

We have a client who established a 401k plan 1/1/98. He had an existing ps plan at the time. January 31, 1998 he terminated the ps plan. The distributions still have not been made from the ps plan but will be soon. Are there any problems here tied to successor plan rules? Any help would be appreciated.