Plan document or employer eligibility failure?

[Flyboyjohn]

Partner set up and contributed to a 401k plan in her sole name as a self-employed person. Fortunately partnership had no common law employees so we're proposing to fix under VCP via retroactive adoption of a plan in the name of the partnership. 

Is this a plan document or an employer eligibility failure?

[ETA Consulting LLC]

Not sure what you're asking, but you seemed to have identified the problem along with a reasonable approach to correcting it.

Good Luck!

[Flyboyjohn]

VCP is only available for 4 types of qualification failures: plan document, operational, demographic and employer eligibility. 

I'm trying to figure out which bucket this situation fits in bes.

Thanks

 

[ETA Consulting LLC]

Under the correction, you're proposing to retroactively amend the document to be sponsored by the correct employer and have it treated under the same procedure as the non-amender.  I've never thought about what you call it, but have made this type of correction on several occasions.

Good Luck!

[RatherBeGolfing]

EDIT Ugh responded to the wrong thread...