JBones Posted May 13, 2013 Posted May 13, 2013 How is the following situation corrected: A controlled group between 2 companies. 2013 is the first year after the transition period and both companies need to be considered together. Company A has a safe harbor 3% nonelective plan with with SH going to all employees (not just NHCEs). Company B has a 401(k) only plan subject to ADP testing with no employer contributions. The plan's do not pass 410(b) separately. Since they don't pass 410(b), I can't split them into 1 safe harbor group and 1 group that is tested. How is this corrected? Am I stuck providing the 3% SH contribution to all employees of Company A but still being subject to ADP testing?
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now