ADP Test "Comp as a Nonexcludable"

[austin3515]

401k eligiblity is immediate. Let's say plan uses sem-annual entry dates to determine whose in the main test. Can you exlcude compensation (and 401k) contriubtions for periods before the Participant became a statutory employee?

I had notes somehwere concluding that you could only exclude compensation from a period BEFORE PLAN ENTRY - not from before becoming a statutory employee.

[Guest IluvNewComp]

I believe you are correct.