Post-Severance Compensation

[Guest shaul]

ASPPA submitted a comment letter to the IRS in August of 2008, requesting that the safe harbor definition of compensation provided in Treas. Reg. Section 1.414(s)-1© be modified to include definitions that exclude all post-severance compensation (including "regular" compensation, such as base pay). Q&A 7 of the 2010 JCEB conference with the IRS indicates that the IRS representative declined to comment on the assertion that "safe harbor compensation" used in safe harbor 401(k) plans must include post-severance amounts (which arguably suggests the IRS is still considering ASPPA's proposal). Does anyone have any additional insight into how the IRS is handling this issue, such as in the context of determination letter filings?

Thanks.