failed ABT

[kmciver]

I am working on a cross-tested plan for the second year. I just found out this year that the youngest employee is the son of the owner (different names, so I didn't pick it up). I'll be able to do a corrective amendment for 2002 so that we pass the average benefits test for 2002, but I am concerned about the prior year. If I retest the plan for 2001 it fails miserably. Can I do a corrective amendment now and give contributions to pass the test for 2001. Does this fall under self correction? Or is there a better way to fix this problem?

[Tom Poje]

All cross tested plan we run would allocate contributions to direct owners. If yours is similar and the son received the same % as the rank and file you still might pass by using restructuring - e.g. testing the son with some nhces using allocation method. there was an earlier thread about restructuring.