Princess(k)

I have a client for whom the original service agreement indicated all fees were to be paid by the employer. The participant disclosure reflected so. THEN, the employer changed the agreement with a portion paid by the employer and the remainder deducted from participant accounts. The participant fee disclosure was not updated and has reflected paid by the employer for the last 4 years. Quarterly statements are sent in which participants can see the amounts deducted attributable to fees. At this point, I have updated the disclosure to properly reflect a portion paid by the employer and the remainder deducted from participant accounts. What other action must be taken?

The plan has a last day requirement for contributions, so my rationale is no, the partner is not eligible to receive the profit sharing contribution. HOWEVER, from a compensation perspective for partner elective deferrals, earned income is treated as currently available on the last day of the partnership's taxable year so could have made a deferral election prior to the end of the taxable year and the contribution is made by the partnership tax filing deadline. Thoughts?

Is a partner that has separated from service (in September 2016) eligible to receive a profit sharing contribution if there is a last day allocation requirement?