Is adopting a volume submitter considered an amendment to an existing plan.

[Guest jcarlos]

Can the adoption of a volume submitter plan to replace a prototype plan ever be considered an amendment? I say no (duh), my boss disagrees. Can someone settle this one for us?

[austin3515]

A restatement is a giant amendment. I say it's an amendment. I guess a rule of thumb is, all you can ever do to an existing plan is amend it... That's my vote anyway.

[QDROphile]

If it is not an amendment, what is it?

[Guest jcarlos]

Whoa! I hate it when the boss is right.

2nd part of the bet (there are libations riding on this one): Does using a volume submitter to amend a prototype plan count for the 2.5 month rule when retroactively amending/increasing a plan's profit sharing contribution?

[austin3515]

What? Please expand...

[Bird]

I assume you're talking about the rule that lets you amend (increase) a PENSION plan's contribution formula after the end of the year...that is inapplicable to this situation.

You probably have the ability to make a contribution of anywhere from 0-25% of pay. The allocation of that contribution cannot be changed after participants have earned the right to an allocation under the formula in place at that time. The LATEST date that can happen is Dec 31 for a calender year plan (it could be earlier). So, if I understand the question, you cannot change the allocation formula for 2004.