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QNECS under a Davis Bacon Prevailing Wage Plan


Guest PLHart

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Our client sponsors a 401(k) Plan. As they are a construction firm handling several Davis-Bacon jobs they recently joined a multi-employer Prevailing Wage plan where the contributions seem to be classified as QNECs. If this is indeed the case, can we use these QNEC contributions to satisfy ADP test for 401(k) Plan (aggregate plans for testing purposes)?

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