Timing of Employer Contribution to 457(b) Top Hat Plan

[Christine Roberts]

General rule for salary deferral to 457(B) is deferral election must be in place before compensation is earned (unless its a new plan or new participant).

What about a 457(B) funded with an employer contribution only?

Can an employer decide to bonus an executive on December 31, 2002, and have the bonus be contributed in its entirety to the 457(B) plan? In such an instance, wouldn't the organization have until December 31, 2002 to adopt the plan document?

[mbozek]

If this is a np employer then why bother with the timing of a contribution; after all the plan is unfunded and the contributions are general assets of the employer the same as in a plan for profit making employers. In a Govt plan there is a requirement under the prop regs that the contribution be made within a reasonable period of time, whatever that is.