Otherwise Excludables tested Separately

[BLM]

To permissibly disaggregate for testing - must the Maximum statutory age and service conditions be used (Age 21 and 1 Year of 1000 hours service) - or can I draw the cut off somewhere short of, but not in excess of, the maximum statutory conditions?  for example ...

can I draw the line and test everyone only under 1 year of service (based on DOH) without regard to 1000 hours?

can I draw the line and test separately everyone who has only under 3 months of service? 

can I draw the line and test separately only everyone under age 19?

or is the only parameter that can be used is to test separately everyone by using the maximum statutory age and service conditions?

[Tom Poje]

you can't pick and choose

the only area with some leeway (possibly) is

entry date

for years the IRS tried to argue you should use the plan's entry date as a guideline but they concluded you could use maximum exclusion and ignore plan's entry dates

OE memorandum.pdf