Top Heavy Determination

[Medusa]

I've reviewed some other posts along these same lines, but not exactly the same, so thought I would give this one a try.

Have a frozen DB plan and a profit sharing plan. Any TH minimum is to be provided in the DC plan.

The profit sharing plan is cross-tested and the sponsor is making contributions, but those contributions wouldn't necessarily satisfy top heavy (for example, participants who are still employed at the end of the year but who have less than 500 hours aren't getting them).

Just based on percentages, this is a top heavy group - and I believe I still have to satisfy the top heavy minimum contribution requirement in the DC plan, even though the DC plan would not be top heavy on its own?

I wasn't sure whether the fact that the DB plan was frozen has any bearing on this situation.

[SheilaD]

I've reviewed some other posts along these same lines, but not exactly the same, so thought I would give this one a try.

Have a frozen DB plan and a profit sharing plan. Any TH minimum is to be provided in the DC plan.

The profit sharing plan is cross-tested and the sponsor is making contributions, but those contributions wouldn't necessarily satisfy top heavy (for example, participants who are still employed at the end of the year but who have less than 500 hours aren't getting them).

Just based on percentages, this is a top heavy group - and I believe I still have to satisfy the top heavy minimum contribution requirement in the DC plan, even though the DC plan would not be top heavy on its own?

I wasn't sure whether the fact that the DB plan was frozen has any bearing on this situation.

I believe you are still stuck with the top heavy minimum. The DB plan being frozen merely reduces the minimum from 5% to 3%.