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What happens if a company only has 2 employees (both Highly Compensated). and the Cash Balance plan covers both employees, however employee "A" is at the 415 max? Are there coverage issues since the in the current year only employee "B" is receiving a benefit? Is employee "A" still considered to the benefiting even though he is not getting an allocation? If Company ABC has a CB plan, terminates the plan, then starts a new plan, I know the 415 Limit is based on combination of the plans but what about years of participation as it relates to 415? For example, if emplyee "A" had 3 years of participation in the first plan, does he start with 3 years in the new plan or does it start all over? My assumption is the past service counts (since the limit is based on the 2 plan) but I want to make sure.
