Eligible for TDA Plan?

[austin3515]

Plan provides for a 100% of the 1st 5% contributed match into the "Matching Retirement Plan". Deferrals up to 5% and the 5% match go to the Matching Retirement Plan. Deferrals above and beyond 5% go to the TDA Plan (i.e., the "supplemental plan").

Eligibility for everything is immediate.

We're trying to determine whether or not those contributing less than 5% are eligible for the TDA Plan. My opinion is that (and piggy backing off of the DOL's definition of a participant) that anyone eligible to defer more than 5% is a participant. But perhaps there is room to argue that only those actually contributing more than 5% are eligible for the TDA because that plan is only for those contributing more than 5%.

We're trying to determine whether or not the TDA plan has an audit requirement (for the past several years ).

[Flyboyjohn]

Yes, all employees are eligible for and are "participants" in the TDA plan. Any rationale given by the vendor for a separate plan?

[austin3515]

We're merging them soon. It was a TIAA plan (and a small one by their standards) so there was essentially no logic. Just set up that way a million years ago, of course to be treated as exempt from ERISA (though they have been filing 5500's for the past many years).