ADP Refund options

[401king]

A plan has 10 HCEs. Total refund needs to be $5000.00. Our software (DATAIR) suggests $500 to each HCE (all maxed out). Are we allowed to refund the entire $5,000 to a signle HCE if that's what the company & individual wants? (There is an owner & wife who both maxed out - Wife is willing to take the full $5,000 refund).

[BG5150]

Nope. When doling out the refunds, you start with the HCEs with highest deferral dollars and level downward. If anyone has catch-up to spare, it will offset the amount paid, but doesn't eliminate it from consideration.