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Is ADP test irrelevant where all employees are HCEs?


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Profit sharing plan with 401k (no matching) has 8 participants (2 Key ees; all are HCEs). Plan is top-heavy. Is it correct to assume that ADP is irrelevant? Also, if Keys make maximum deferral, is it correct that employer can make p/s contribution of 3% to non-key ees only and satisfy top-heavy minimum? Are there any other issues that I might overlook in this situation?

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