Using Prior Year NHCE ADP

[Guest Jason Wioskowski]

Assume 12/31/98 yr end testing of a plan; and, during 1998, part of the plan unionized and remained in the plan. The 1998 test will have to be split for union and non; but, the question is: can the prior year NHCE ADP%(which was for the entire group) be used for both groups? or do you have to go back and recalculate what would have been if the groups were split in prior yr? Thanks

[Guest PWBAer]

You use the prior year's ADP. Do not recalculate.