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Match in Money Purchase Pension Plan


Guest Luci

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Guest Luci
Posted

The definition of "matching contribution" in 401(m) states that "a matching contribution is an employer contribution made to a defined contribution plan...." Does that include a money purchase pension plan? I know the 401(k) piece may not be included in the money purchase pension plan.

Posted

That is my understanding.

The matching contributions part (and after-tax contributions) of a plan is disaggregated for coverage and discrimination testing, so it doesn't really matter which plan it goes to.

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