"This client has revolving door of employees and sometimes makes determining what service qualifies for vesting a little complicated ... The employee in question has Original Date of Hire was 6/25/2014 and he worked 1,000 hours in 2014. He termed in January, 2015 and was Re-Hired in November, 2016 so neither of 2015 or 2016 plan years did he work the 1000 hours. He termed on 5/20/2017 having worked his 1,000 required hours for the year 2017. He was Re-Hired on 9/18/19 but worked less than the hours required during the remainder of 2019. Now he has termed again on 7/1/2023. I believe he gets vesting service credit for 2014, 2017, 2020, 2021, 2022 and 2023. Does that sound right?"

"A participant makes a subsequent deferral election. Before the 12-month period before it will be effective elapses, can she void that subsequent deferral election and make a different subsequent deferral election or is she locked in until the 12 months expire?"

"I have a client (Company A) that sponsors a 401(k) and a DB plan. A couple of years ago they acquired another company (Company B) that sponsors a 401(k) plan. The transition period funder 410(b)(6) has now expired and they may have a testing issue unless they can obtain QSLOB status. In testing for QSLOB status, both companies meet the 50 employee requirement and the administrative scrutiny requirements under 414(r). Next up is the Gateway test under 1.414(r)-8 which is causing a potential problem. I believe that each of the 3 plans has to satisfy 410(b)(5)(B) on an employer-wide basis, and can do so by each having a coverage ratio greater than the unsafe harbor percentage. While each of the 401(k) plans satisfy this requirement, the DB plan unfortunately does not. Based on this, does that mean Company A fails to be a QSLOB based on the DB plan's coverage failure? Or can Company A's 401(k) plan at least be tested on a QSLOB basis since that plan does meet the coverage requirements and the sponsor satisfies all of the other QSLOB requirements. In that case at least we'd be good for the 401(k) plan and the DB plan could then explore other options (hard freeze or open up to new entrants). A colleague suggested that Company A as a whole could be tested on an employer-wide basis, not each individual plan. The argument being that it's the QSLOB itself that needs to be tested, not the plans of the QSLOB. But that did not sound correct to me. Any suggestions are welcome."

"Plan has immediate eligibility. However, Part Time and Seasonal Employees are excluded. Obviously if the employee in these groups complete 1,000, they were eligible for the plan. There seems to be different opinions if the LTPT rule applies to groups specially excluded from the plan. Question, if the plan specially excludes a group (part time and/or seasonal/interns etc.), does the new LTPT rule apply to this group."

"Is it oversimplifying the concept that plan with an elapsed time eligibility provision is not subject to the LTPT rules? I seem to have picked that up somewhere, and I haven't seen it debunked at any webcast. Thanks."