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Showing results for tags 'ACP QNEC and Forfeiture Accou'.
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Folks, I'm on the Corporate side of the aidle now - been out of consulting for awhile. We have a new match in our plan and we use prior year testing. Last year's NHCE ACP was 0.42% from after-tax contributions and one member of the controlled group that had a match, but I'm expecting the introduction of the match (50% up to 6%) to the larger population to significantly increase the NHCE ACP. Since we use the prior year method, I expect HCE's will be signficantly limited from an ACP perspective. I think we can shift a full percentage point from the ADP test, but if that is not enough and we want to use a bottom-up QNEC to pass the test, can we use the forfeiture account to fund the QNEC? Is it permissable to use a combination of methods to pass ACP, i.e. shifting AND QNEC. Are there any testing gurus that can offer advice? LL&P Spock
