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HCE, SH & waiving out


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Guest DazedAndConfused
Posted

I have a plan where there is a HCE who waived out of the plan. Is he required to get a Safe Harbor Contribution? Is he still included in my testing when I run a profit sharing contribution? Thanks for any insight!

Posted

if the ee has truly waived out from the plan, he would not be eligible for the safe harbor.

he would be treated as includable and not benefiting for coverage (once he has met the plan's eligibility requirement and would have come in had he not waived out.

he would show up as a 0 for nondiscrim for nonelective testing

Guest DazedAndConfused
Posted
if the ee has truly waived out from the plan, he would not be eligible for the safe harbor.

he would be treated as includable and not benefiting for coverage (once he has met the plan's eligibility requirement and would have come in had he not waived out.

he would show up as a 0 for nondiscrim for nonelective testing

Thanks - We have done it this way but sometimes things look funny & I wonder if I am doing it correct & want to make sure. Thanks again for your help.

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