Davis-Bacon credit for Matching Contribs

[Guest dbvail]

Our client has a prevailing wage element in the 401k plan. The plan also has a discretionary match. They have some unofficial 'it seems so' guidance that the match can be counted against the prevailing wage contributions, as long as they are fully vested.

The VS document we use is somewhat vague, silent and otherwise unhelpful in making the call. The client has provided a 6/29/1990 Field Operations Hanbook and cited Sec 15f13 as some sort of support.

As the match is discretionary and non-vested I believe the Davis-Bacon deposits can't be offset.

But this is a rare circumstance and I hope someone out there wants to take a shot at the answer.

Thanks