Profit Sharing Plan

[Guest elang]

I feel like the answer is obvious, but thought I'd ask anyway... For purposes of providing a 2011 PS allocation to a larger group of employees, is it too late to amend the 2011 entry dates for Employer Non-Elective contributions? How about more lenient eligibility requirements for the same? Thanks.

[ETA Consulting LLC]

Arguably, yes. Generally, you cannot change the condition for receiving an allocation after those conditions have been met. So, to amend the plan eligibility would presumably allow more people in (causing the ones originially eligible to receive less that they would've received prior to the amendment).

Good Luck.

[Bird]

Arguably, yes. Generally, you cannot change the condition for receiving an allocation after those conditions have been met. So, to amend the plan eligibility would presumably allow more people in (causing the ones originially eligible to receive less that they would've received prior to the amendment).

I agree, but I think if you were really, really anxious to do this, you could amend the plan to say something like "Joe is in the plan for 2011 but does not share in the formula allocation. He gets a special allocation of $x."

Or something like that. It would take the plan out of prototype status if it's a prototype.