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I'm looking for a little confirmation on what I hope are easy questions - with a lot of set-up. A control group has 9 different 401(k) plans. A few of the plans fail the ratio % test so we are going to aggregate the plans into 3 separate groups: Group 1: Plans 1, 2, 3, and 4 are not safe harbor and all have identical provisions. Group 2: Plans 5, 6, and 7 are not safe harbor and all have identical provisions (but different match than group 1). Group 3: Plans 8 and 9 are safe harbor match with identical provisions except Plan 9 also has a fixed 2% non-elective contribution. Groups 1 and 2 each pass the ratio % test for 401(k), 401(m), and 401(a) as well as ADP and ACP so we are in the clear. Group 3 passes the ratio % test for 401(k) and 401(m), but not 401(a). The only option for Group 3 is the average benefits test and it passes - if our system is running it properly. While I know the basics, I don't have a ton of experience dealing with the ABT and I'm always leery of results that I can't double-check with confidence. I know I should trust the software, but I trust the opinions of many of those who reply to this message board a little more. In the average benefits test the HCE and NHCE in Group 3 are having the EAR's calculated while all HCE and NHCE from Groups 1 and 2 are shown with a 0.00 EAR. The average EAR for all HCE is .72%. The average EAR for all NHCE is .65% so definitely more than 70% of the HCE EAR. Non-discriminatory classification seems fine - excluded employees are only those employees from companies 1-7 and the ratio % test for 401(a) was 52%. 1. With this information does it sound like our system is running this properly and all three groups pass coverage - or is this not enough information to hazard a guess? 2. I think we've aggregated the most-logical way possible but am I missing any potential problems with aggregating these 9 plans into 3 separate groups? 3. Each of these plans uses different recordkeepers, have different investment lineups, and very different fee structures. Is this a potential BRF problem?

Quick question on some confusion with the code. 1.410(b)-5(a-c) & (d)(2) When determining the actual benefit percentage, the code states that in (d)(2)"Employee contributions and employee-provided benefits disregarded" and clearly states "Therefore, employee contributions (...), and benefits derived from such contributions, are not taken into account in determining employee benefit percentages." However, literature, ASPPA presentations, and the Relius program include employee 401k contributions into the test. Applying to both contribution or benefit basis... Is this due to code 1.401(k)-1a(4)(ii) "Treatment of elective contributions as employer contributions"...? Basically saying that 401k & Roth are considered employer contributions in 1.410(b)-5 Just trying to get some clarification on the confusing wording Thank you