Is the addition of an adopting employer (creates a MEP) allowed mid year for SH Plan

[jkharvey]

Two companies are not related in ownership such that a controlled group exists. One company sponsors a SH 401k plan and the other wants to adopt the plan now (June). Permissable for a SH plan?

[mphs77]

Could they be an Affiliated Service Group?

[jkharvey]

I tried that. No service organizations. thanks.

[QDROphile]

Multiple employer 401(k) plans have securities law issues that are relatively obscure (but potentially devastating), so they are usually overlooked or disregarded. But even becoming a scofflaw should be undertaken advisedly.