Roger

Thanks. This is the second exact suggestion for this idea. Happy Holidays.

I was wondering of what advice/suggestions you might have for me. I have a 401k plan client with a participant that went on leave April of 2019. His 401k loan payments were suspended then. By rule, these payments can be suspended for up to a year (April 2020). Employee is still sick and still on leave. Client has NOT defaulted loan yet (yikes, should have been defaulted April 2020). All the employees of this company were affected by COVID from a financial standpoint. Some were furloughed, others had hours cut, etc... This employee in question will eventually come back. Client and I are trying to see if it would be wise/legal to use the CARES Act loan payment suspension relief to give this participant another year (from April 2020 when original one year suspension was over) maybe until April 2021 to begin payments again vs defaulting loan. Any suggestions/thoughts? Tax on defaulted loan will obviously be a burden..

Thank you Lou

New subscriber here. In a safe harbor match plan, a previously full time employee that now goes part time can continue to defer AND receive the safe harbor match. However, Im not sure if this is the case with a NON-Elective 3% safe harbor plan? This same employee can contunue to defer BUT are they still entitled to the end of year 3% non-elective? TX