"We have a client with an existing 401(k) plan with an EACA. The plan currently states that all eligible employees will be subject to the 3% automatic deferral each year so an employee will need to make an affirmative election to opt out or defer a different percentage. The Plan Sponsor wants to have the recordkeeper handle the automatic enrollment going forward. The recordkeeper cannot provide notices and automatically enroll all eligible employees each year, their system is only setup to automatically enroll newly eligible employees or employees with no deferral election. Can we amend the plan as of 10/1 to change the automatic enrollment under the EACA to newly eligible employees or employees with no election or do we have to wait until 1/1/2025?"

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"Owner of 3 companies (only one with employees) starts up a solo 401k in 2023 and doesn't make any funding until 2024. the funding isn't permitted because the employer has 40 staff in another company he owns. What is the correction method for this? Can this be withdrawn as a mistake of face? This owner is not taking a deduction for the solo funding for his 2023 taxes."

"Joe owns 100% of corporation and 100% sole-prop -- separate lines of bizs with separate income sources. Corporation has employees and sole-prop does not. Both entities adopted the plan. Joe's 2023 DB contribution is 200k split 50/50 between the 2 entities (his w2 from corporation was 165k and had 500k net c from sole-prop so 50/50 of the 401a17 limit). Joe asked if he could pay the full 200k from the corporation which was not the original agreement. Joe also asked if he could transfer 100k from sole-prop to the corporation and have the corporation put in the 200k but still deduct separately from each entity. Any thoughts/comments?"

"Business A and business B are related, but their plans are not part of a controlled group. Business B is purchased by business A in November and the TPA included all income/contributions from both entities in the testing for business A's plan (SHNE was paid to plan A after the merge). However, each business was operating separate plans before that. I don't believe this is an issue because the plan's benefits are identical. Would testing need to be completed separately for plan B? Would both 5500s be marked as yes for permissive aggregation?"