414(h) pick up

[Guest cxs]

I have a thrift plan for union members of a board of education. Currently it requires after-tax contributions and has a vested match. It is on a profit-sharing prototype. They want to add a 414(h) pick-up of 5% mandatory contributions and change the after-tax to voluntary. An "authority" tells me this can not be accomplished on the prototype and requires an individually designed document. I have reviewed past posts and am not sure about this. Does the document need to specify 414(h) pick-up? What needs to be included in the document? I am totally confused by the whole "pick-up" idea. (So confused, I don't know if this post should be under 401(k) plans). Any help or resources would be appreciated.

Thank you!

[mbozek]

I thought all prototype plans were required to have ERISA language in order to receive IRS approval so why would a Govt entity exempt from ERISA adopt such a plan? 414(h) pickups are only permitted for govt plans. Did a tax advisor review this document before it was adopted by the govt?