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Posted

Plan is a calendar year plan.

Plan is converting to a MEP 7/1/16.

Since the conversion is mid year - can I use full calendar year wages for 401k testing and can I still test the groups together in this year of conversion?

I'm not quite sure how the 410(b)(6)© rules apply when I'm taking a plan into MEP territory....

It's converting to an open MEP, but the employers in the plan this year are carryovers of those already in the plan previously so they are related

Posted

As a side thought on this.... I'd really like to test all my employers as one for 401k effectively having 1 big ADP test for the 2016 year....

For 401m though, I'd rather test my employers separately.... Only one of the employers in the MEP of the 4 has HCE's, but the match rate for the employer with the HCE's is greater than the match rate of all the other employers...

Am I permitted this type of 'picking and choosing' in the year of disposition (i.e. converting over to the MEP)

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