401(k) Plan Aggregation

[Guest tm3333]

Are two separate 401(k) plans that are sponsored by two separate employers in a controlled group required to be aggregated for coverage and nondiscrimination testing? If so, where does it say this in the regulations?

[Tom Poje]

last sentence of 1.410(b)-7(d)

if an employer treats 2 or more separate plans as a single plan under this paragraph, the plans MUST be treated at a single plan

for ALL purposes under sections 401(a)(4) and 410(b).

so it is optional, permissive aggregation, but if aggregated for coverage, then aggregated for ADP testing

if not for coverage then then for ADP