Partial Year Safe Harbor Plan

[mming]

An employer wants to amend their existing profit sharing plan into a safe harbor 401(k) plan mid year - is this permissible? With the recent law changes that now allow 401(k) plans to remove their safe harbor provisions mid year and the fact that the first year of a 401(k) plan is not required to be 12 months long, it seems implied that such an amendment would be OK but I first wanted to see if anything was being overlooked.

Also, is it accurate to say that neither the 415© or 401(a)(17) limits need to be prorated in this situation for the portion of the year the 401(k) provisions are in place, as both the plan year and limitation year will not be changing?

[BG5150]

You can add 401(k) & SH by Oct 1 for calendar year plans.