Schedule T and statutory exclusions

[Guest RBlaine]

One owner of two companies has a plan for each company. The larger company X has about 200 employees (2 of which are HCE's), and the smaller company Y only has about 4 employees (none are HCE's). He wants to make a contribution to company X plan this year, has a 3 month/age 18 eligibility period with 1/1 & 7/1 entry dates. Most of the employees fall under the statutory exclusions and the controlled group can pass 410(b) for the contribution.

Now, how do I answer the questions in Line 4 on the Schedule T if I am using statutory exclusions to pass 410(b)?

Here is what I was thinking of doing:

Line 4©(1) I put all employees of the controlled group.

Line 4©(2) I put all employees that are excluded due to not completing eligibility requirements, or had less than 500 hours plus all of those I excluded under the statutory exclusion rule.

Lines 4©(3) - 4©(6) follow from these numbers.

Line 4(e)(1) I put Statutory Exclusion Group under the Disaggregated part with a Ratio Percentage of 100% (since there are no HCE's in this group).

I was thinking of completing the Schedule T of both plans with these numbers.

[Archimage]

Your description sounds correct.