Good morning. I have a plan with 45 HCEs. The plan has immediate entry for 401k. When I test the Otherwise Excludable employees (includes 4 HCEs) separately the test fails. I have 2 questions:
1. Can an HCE be an Otherwise Excludable employee? The McKay Hochman website seems to say No.
2. If HCEs can be an Excludable Employee, do they take a refund, or do I just go with the Non-excludable test, which passes?
Thanks in advance!!