ACP test fails and we are now past the end of the following plan year (the statutory correction period). Therefore, sponsor is doing the one-for-one method via self correction. Correction method and plan document allow for forfeiture of non-vested match, but vested as of when? The end of the plan year to which the excess was attributable, or as of the date of corrective distribution (for those vested)?

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Might a plan self-correct a missed deferral opportunity by allowing the participant to deposit an amount to the plan equal to the missed deferral amount? Due to an error in plan sponsor's payroll department, an eligible Highly Compensated Employee's deferral election of $24,000 was not carried over from 2016. This was not discovered until this past month by the participant's tax accountant who was preparing her 2017 tax return. Plan sponsor is prepared to self-correct under Rev. Proc. 2016-51 by making a qualified nonelective contribution (QNEC) equal to 25% of the Missed Deferral Opportunity, as adjusted for earnings, and supplying the requisite notice. However, participant and participant's accountant would prefer to pay $24,000 to the plan and have the plan sponsor issue an amended W-2. Plan sponsor is agreeable, since would save them the cost of the $6,000 QNEC. However, I am thinking that such a deposit would fail to meet the definition of an elective deferral. While it might be argued that the contribution will be made "pursuant to a cash or deferred election under a cash or deferred arrangement," I don't see how it can be categorized as an "employer contribution."

Partner in an L.L.C. gets a K-1 with $70,000 in net self-employment income. He has W-2 income from other companies, upon which Social Security payroll taxes are withheld. Does the Social Security from the W-2's affect the calculation of a maximum profit sharing contribution?

Plan sponsor wants to split its current safe harbor 401(k) plan (130-ish participants and going up each year) into two identical plans in order to avoid the audit requirement. The split probably could be done by placing certain categories of employees in just one plan. I'm much more comfortable with this than an alphabetical approach. Here's the wrinkle: the employer also sponsor a cash balance plan, which is tested with the 401(k) plan. Does this cause complications for splitting the 401(k) plan?

Plan has 3 partners and a few NHCEs. Provides a 3% flexible SH to all employees. Plan does not exclude HCE from the safe harbor. Plan is top heavy. Employer wants to exclude one partner from receiving the safe harbor. Can one HCE/Owner be excluded from receiving safe harbor via a board resolution without spoiling the plan's safe harbor status?

I have a solo 401(k) participant that has $0 in Schedule C compensation and is age 55. Is the allowable deferral $0, or $6,000?

Plan Sponsor has old TIAA individual contracts in 403(b) plan. More than 90 of these contracts belong to terminated participants. We (the TPA) would like TIAA to take some action to show that these contracts are distributed for 5500 purposes. Has anyone had experience they could share with this issue?

Can the other spouse, if not covered by their own employer plan, have his or her own regular IRA, and is it fully deductible ?