Safe Harbor 401(k)

[mlp0816]

Have a safe harbor 401(k) client who offers the basic SH match to those who contribute. One participant has reached her employee deferral limit of $14,000. Will the company be required to continue the safe harbor match contribution off of her gross wages until the end of the plan year? Or, does the safe harbor match stop since she is no longer able to contribute her employee deferral amount?

[Brenda Wren]

Depends upon whether or not the plan has a true-up provision in it. Check the definition of "allocation date" in the document. Check the notice, too.