safe harbor match formulas

[pmacduff]

A plan utilizes the basic SH match (100% up to 3% and 50% of the next 2%).

I'm trying to find a formula for a discretionary match on top of the basic safe harbor above that would be equivalent to a formula of SH 100% up to 4% and additional discretionary of 50% of the next 2%.

[Flyboyjohn]

No can do without violating the non-increasing match rule.

Sounds like you're trying to get an extra 1% to those who defer at least 6% so closest I can come is a discretionary formula of 16.67% of the first 6% deferred.

[pmacduff]

Thanks FBJ

Not trying to get "extra" match to those doing 6% but rather trying to equal out to a previous formula that would be equivalent to the original formula without having to change the SH formula.

Client took over another company and wanted to be able to get the participants the same match amount they had been receiving under the previous plan. The new plan has the basic safe harbor match formula and the old plan had the 100% up to 4% formula plus the additional discretionary of 50% of the next 2%.