safe harbor 401(k)

[k man]

assuming notice is given timely, when is the latest time the employer has to actually adopt the safe harbor plan amendment? in this case the plan is an existing 401(k).

[R. Butler]

1. Up until the Gust Remedial Amendment date. (I assume that has past, but there were so many extensions, I really don't know.)

2. Generally the first day of the plan year, unless you gave the 3% maybe notice & then you have until 30 days prior to year-end.

[jquazza]

You have until the end of the plan year to amend your plan with a safe harbor provision. The safe harbor notice has to be provided 30 days before the plan year begins.

So, if your plan is a calendar plan year, provide the notice to the participants by December 1, 2004 and amend the plan by December 31, 2004 to have a safe harbor plan in 2005.

[R. Butler]

You have until the end of the plan year to amend your plan with a safe harbor provision. The safe harbor notice has to be provided 30 days before the plan year begins.

So, if your plan is a calendar plan year, provide the notice to the participants by December 1, 2004 and amend the plan by December 31, 2004 to have a safe harbor plan in 2005.

Your post doesn't make sense. You state you have until the end of the plan year in paragraph one, but in paragraph 2 require that plan be amended prior to the start of your 2005 plan year.

[k man]

from my reasearch it seems the amendment must be done prior to the plan year for which you want to be safe harbor. ie by December 31, 2003 for the 2004 plan year. i think this is what one or two of you said as well.

[Guest Dolores Lawrence]

Before the beginning of the Plan Year - if the plan is meant to be safe harbor in the next plan year.