New comp plan and prevailing wage

[Guest noans]

Background: PS plan with 401(k) and prevailing wage. Prev. Wage is from federal jobs. Plan has one HCE (owner) and is not Top Heavy. 3 eligibility requirements. PW is immediate upon hire. 401(k) is 6 mos/age 21 enter 1/1 and 7/1. PS is 1 year (1000 hrs) and age 21, enter 1/1 and 7/1. PS contribution can be offset by PW. Not everyone works PW.

Question: for New Comp testing, do I need to give a minimum gateway to those employees that received a PW contribution but would not be eligible for a profit sharing contribution? My gut says yes, because it's still an employer contribution. But I will run into this example: Joe and Bob hired on same day. Joe works PW jobs, Bob does not. Joe receives, let's say, 3% in PW contributions. If he needs say 5% min gateway, he gets another 2% ER money. Meanwhile Bob gets zippo because he not's eligible for profit sharing.

I've researched and still researching but coming up empty so far. ANY comments, suggestions, links would be appreciated. THANK YOU! PS I originally posted this under 401(k) but deleted and posted here.

[Mike Preston]

There is no difference between the PW contributions and the PS contributions. Just aggregate them for all purposes.

If you test the plan using statutory exclusions those who would be excluded are not entitled to a gateway.

[Guest noans]

Thanks so much Mike. This is really where I was leaning. Have a great week!