Elapsed Time Question

[eclark]

We have a plan that uses the elapsed time method for eligibility and the service is 12 months with January 1st and July 1st as entry dates.

This plan has an employee who was hired 5/17/04, terminated 12/30/04 and was then rehired 6/5/05. If I read Sal's book correctly, because this employee came back within 12 months of her termination date, I need to count the 5 months she was gone as part of her service so she would enter the plan on 7/1/05.

Is this correct?

[stephen]

I agree with your analysis.