Logan401 Posted August 23, 2023 Posted August 23, 2023 Hello Everyone! I just need to clarify the rule for Option 1 for Otherwise Excludable Employees: The rule: The earlier of the first day of the next plan year after attaining age 21 and completing one year of service or 6 months after satisfying such requirements. The question: Let's say we are working on a 2023 profit share, and an employee was hired on 07/02/2022. The earlier of: 1st day of the next plan year after completing one year of service: one year of service = 07/01/2023, next plan year = 01/01/2024 Or 6 months after satisfying such requirements: 07/01/2023 + 6 months = 01/01/2024 (or is it 12/31/2023?) Question: Is 6 months after 07/01/2023 actually 12/31/2023 or is it 01/01/2024? Thank you in advance!
Logan401 Posted August 28, 2023 Author Posted August 28, 2023 I answered my own question. I am going to treat the 6 months the same as the 12 months of eligibility. Problem solved!
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