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Guest tcunagin
Posted

I have a top heavy age weighted profit sharing plan that does not have a 401(k) provision. They are not making a contribution for the year. There are forfeitures to be allocated. My question is this can the forfeiture allocation which is less than 3% for all including the HCE's be counted as the contribution or do I have to contribute in addition to this to bring it up to 3% for the NHCE's?

Posted

The alloctaion to the NHCE's must be the lesser of 3% or the highest allocation rate received by an HCE.

You may get more responses to this if you post this under the Cross Testing or Retirement Plans in General forums.

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