Safe Harbor Nonelective Excludes HCE's

I have a plan that was amended to exclude HCEs from SHNE contributions. None of my current plans have this exclusion, so I want to ensure I understand it correctly. If HCEs are excluded, does this mean that all HCEs would not receive any SH Employer contributions, or does it mean they have the option to be excluded? I assume they would not participate in the allocation since this exclusion is written into the document, but I need clarification on the logic, as the Financial Advisor is questioning this.

We write it in our document that HCEs are excluded from SHNE but the employer has the option to contribute. It’s not an employee decision. 
 

Just gives the employer a lower floor when they want to do the absolute minimum. 
 

So you’ll have to RTFD. 

THANK YOU!

If it’s a prototype formatted ftwilliam document, it’s a “Note” in the adoption agreement. These “notes” are generally not reminders or FYI’s, but are plan provisions that must be followed.

Can we choose which HCEs receive and which don't? Does it have to be an all-or-nothing? 

I think that's in the language of your particular plan, rather than a blanket rule.