Here's a stumper for you... I would love a speedy answer! :-)

[Guest BeneGal]

Can an employer set up a flex plan so that employees can contribute their annual bonus in one lump sum AND still elect a weekly contribution amounts?

As long as the Plan Doc and enrollment form reflect this set-up... would it fly?

[Guest JerseyGirl]

There is nothing in the regs that says the contributions must be made equally over the course of the plan year.

I would think that if the employees knew how much the bonus was going to be before the open enrollment period so that they could make an annual election equal to bonus + weekly contributions, this would work. But if the bonus amount was an unknown and you could not therefore include it in the annual total, you would have trouble justifying the change of election down the road. Timing is everything!