Top Heavy question regarding a "Former" Key EE

[Guest KD40]

Let me start this thread off by saying that the company I work for does TH testing differently than most, in the aspect that we determine if your plan will be TH in the next plan year. (i.e. We are now completing 1/1/02 - 12/31/02 compliance testing, so our TH determination date is 12/31/02, to see if they will be TH for the 1/1/2003 - 12/31/2003 year.

Scenario:

An individual was a Key EE for the 1/1/02 - 12/31/02 TH period. However, that Key EE is no longer a Key for the period we are getting set to test (1/1/03 - 12/31/03).

Question:

How will that person be treated for the TH test. They are still employed, but just not Key.

I probably realize this was probably as clear as mud, so any additional information needed, let me know. Thanks.

[Blinky the 3-eyed Fish]

You have a determination date of 12/31/02, so you don't care about his status in 2003. He is a key employee because of his status from the determination date to the lookback period of 1 year.