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excess matching contributions


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Guest Paul Jalazo
Posted

A 401(k) Plan provides for a 25% match. For a two year period (2001 and 2002) the TPA incorrectly calculated a match at 50%.

All the participants are NHCEs. What options exist to correct?

Forfeit excess? Corrective amendment for operational error or the 2 year period?

Posted

If the match is hardcoded in the document then I think either method you described would work in correcting the situation.

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