is there a minimum compensation

[Guest ronald mexico]

i have an owner whose mother and father both work for his company and they have worked 1000 hrs in the past and are elig for the plan- new plan for 2007. The parents are still working and will not participate --they will be excluded. they will be included in the a4 tests as 0's. question is, is there a minimum comp they need to avoid any issues with irs ? is it as simple as min wage mult by the number of hours?

[WDIK]

is there a minimum comp they need to avoid any issues with irs

Although I believe there are some special cases that apply to family members, perhaps it would be pertinent to ask "What compensation would be reasonable if they were not family members?"

You may also have some interest reviewing the following thread:

http://benefitslink.com/boards/index.php?showtopic=30913