End of year termination of employee

[Guest Peggy806]

Basic question. Plan has last day rule. Employee terminates 12/31. Are they eligible for part of the contribution? Relius excludes them from the contribution since they have a termination date.

[MSN]

Most documents that I've used are worded in a manner such that a participant must be employed on the last day of the plan year to recieve the allocation. If a participant was paid for service through the last day of the plan year, they should be entitled to the allocation.

[Bill Presson]

Most documents that I've used are worded in a manner such that a participant must be employed on the last day of the plan year to recieve the allocation. If a participant was paid for service through the last day of the plan year, they should be entitled to the allocation.

Agreed.

[Guest Peggy806]

Most documents that I've used are worded in a manner such that a participant must be employed on the last day of the plan year to recieve the allocation. If a participant was paid for service through the last day of the plan year, they should be entitled to the allocation.

Agreed.

I agree, too. Was just questioning this since someone interpreted this differently from the way I interpreted it.

thanks

[david rigby]

There are some prior discussion threads on this topic, such as:

http://benefitslink.com/boards/index.php?showtopic=38044

http://benefitslink.com/boards/index.php?showtopic=34709

http://benefitslink.com/boards/index.php?showtopic=33878