Safe Harbor Match Deposits by Payroll Date?

[KateSmithPA]

One of our clients was recently told by their payroll company that he had read that the safe harbor match contribution must be contributed each pay period, as the salary deferrals contribution. This make no sense to us, but my manager asked me to look into it.

Has anyone out there heard of such a requirement?

Thank you.

[wmyer]

Not true. Notice 2000-3 addresses the timing of the SHMAC. If the SHMAC is trued up based on annual compensation, the employer will have until the tax filing deadline plus extensions to make the deposit. If the SHMAC is based on a pay period method, there are some different timing requirements, however, as clarified in IRS Notice 2000-3.