The Guru Posted September 7, 2023 Posted September 7, 2023 We have separate 401(k) plans for non-union and union employees. How are employees who unionized but with a balance in the non-union plan counted on line 6? Are they active because they are active employees or are they separated because they are now in a different plan? Thanks in advance.
Bri Posted September 8, 2023 Posted September 8, 2023 still active The definition of retired/separated in the instructions says "i.e., individuals who are retired or separated from employment covered by the plan...." and although that hints at some leeway since "hey does the union job no longer mean covered by the plan?", I think it's generally accepted they count among the actives while their employment with the sponsor is active. Luke Bailey 1
CuseFan Posted September 8, 2023 Posted September 8, 2023 4 hours ago, Bri said: still active 100% correct. If retired/separated they'd be eligible for distribution - which they are not. They simply wend from an eligible class of employee to an ineligible class of employee, but they are still employed by the employer (or any control group member) maintaining the plan. Kenneth M. Prell, CEBS, ERPA Vice President, BPAS Actuarial & Pension Services kprell@bpas.com
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