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Posted

I have a plan (client) with a safe harbor match.  Their HCE made 166400 before bonus.  They only deferred on the base salary even though plan allows deferrals on  "irregular compensation."  The divided the $18500 between each pay period, and applied the SH Match formula each pay period.  Therefore they only matched them $6656

They had bonuses that made their compensation exceed  $275,000.  They did NOT defer on the bonuses.... I am trying to figure out if they can have the max SH match for 2018 or if they are stuck with the $6656

Posted

If it's calculated on a payroll basis, there is no true-up.

QKA, QPA, CPC, ERPA

Two wrongs don't make a right, but three rights make a left.

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