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Mix & Match Safe Harbor


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Posted

Let's say Mongo Company wants to offer a safe harbor 401(k) plan to its employees. Mongo is actually made up of 3 different companies.

Mongo wants to offer Companies A and B a safe harbor w/4% match. But they want to offer Company C the 3% nonelective safe harbor design. Company C is significantly smaller in headcount than A&B.

Is it possible to offer different safe harbor designs within a control group?

Posted

Yes, as long as the individual plans pass coverage.

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