Guest allyson Posted June 21, 2006 Posted June 21, 2006 Company has a safe harbor 401k plan. They give 3% to all eligible participants. If an employee becomes eligible on Dec 1st - do they only receive 3% on December comp or comp for the entire year? Thanks.
Archimage Posted June 21, 2006 Posted June 21, 2006 Depends on definition of compensation. Look in document to see if comp is excluded before participant enters plan.
Tom Poje Posted June 21, 2006 Posted June 21, 2006 in addition, check for top heavy. it is possible to get safe harbor from date of entry (depending on document) and the remainder as top heavy. difference of course is in the vesting
K-t-F Posted June 21, 2006 Posted June 21, 2006 (Calendar year plan) If plan is TH and the participant enters the plan in December is the TH min based on full year comp... or from date of entry? Its not easy being green
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now