414 Compensation testing

[PFranckowiak]

401(k) Plan  I don't do this enough and am second guessing myself

A. excludes Safe Harbor Exclusions,  fringe benefits, expenses, deferred compensation and welfare benefits.

B.  Also excludes bonuses.

C.  Employees covered under 125 plan and get paid cash if they don't select benefits. 

 

1.  For the compensation test to I take Item A. from gross compensation for the denominator or just use total gross? 

2.  For the numerator do I use the denominator -B?

3.  Also if It doesn't pass and the match is just 15% of the deferral, I assume that the only consequence is using a 415 compensation for testing purposes.