Using forfeitures for safe harbor match

[djhpro]

I'm reading that the IRS Rule in the Fed Register on 1/18/2017 allows plans to apply forfeitures towards  safe harbor employer contributions.  The Rule has many cross references and directly addresses QMAC's and QNEC's as now OK to be funded with forfeitures.  Has anyone analyzed?  Do you agree that safe harbor contributions can now be funded with forfeitures?

[RatherBeGolfing]

It is anything but black and white. There is a current thread on it over Here

[Tom Poje]

this is the 'famous' there is no where in the regs that it 'says' a safe harbor is a QNEC or a QMAC, at least directly.

however, in the preamble to the proposed regs it indicates safe harbors are QNECs and QMACs

In lieu of applying the ADP test, an employer may choose to design its plan to satisfy an ADP safe harbor, including the ADP safe harbor provisions of section 401(k)(12), described in § 1.401(k)-3. Under § 1.401(k)-3, a plan satisfies the ADP safe harbor provisions of section 401(k)(12) if, among other things, it satisfies certain contribution requirements. With respect to the safe harbor under section 401(k)(12), an employer may choose to satisfy the contribution requirement by providing a certain level of QMACs or QNECs to eligible nonhighly compensated employees under the plan.