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Safe Harbor Contribution for 1st Year - Compensation Used


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A profit sharing plan is adding a 401(k) feature as of 8/1/02, and we want to add safe harbor provisions effective on that date.

My question is can we make safe harbor contributions for only the period during which the 401(k) is active? For example, can we exclude people who terminated at the beginning of the year from the safe harbor contribution?

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