Coverage Test

[Guest AKC]

Non-profit organization sponsors DB plan which fails coverage on its own. In addition, the organization sponsors 403(b) plan with employer match and automatic employer contributions. Can I use "employer money" (match and automatic) to aggregate with DB to demonstrate compliance with coverage?

Any feedback including the cite would be extremely appreciated.

[Guest merlin]

Qualified plans can't be aggregated with 403(b) plans, per 1.410(b)-7(f).

[Guest AKC]

Qualified plans can't be aggregated with 403(b) plans, per 1.410(b)-7(f).

Agree, my question is if that limitation applies to employee money or to both ee and er money as well.

[SoCalActuary]

Qualified plans can't be aggregated with 403(b) plans, per 1.410(b)-7(f).

Agree, my question is if that limitation applies to employee money or to both ee and er money as well.

If the 403b EMPLOYER money had been deposited into a 401(a) plan, no problem. Otherwise, you are pushing a large rock uphill.