EPIC Retirement Plan Services
AimPoint Pension Group
Nova 401(k) Associates
Defined Contributions Consultant
Retirement Plan Solutions, Inc.
Healthcare Actuarial Consultant
Retirement Plan Sales Consultant
Plan Design Consultants, Inc.
“BenefitsLink continues to be the most valuable resource we have at the firm.”
-- An attorney subscriber
<< Previous news item | Next news item >>
|EPCRS -- Handling Small Excess Matching Contribution for Owner|
BenefitsLink Message Boards
Aug. 5, 2021
"For 2020, the owner received $150 above the match formula. We're being told that because it's less than $250, EPCRS allows the excess to remain in the account. In other words, the the plan sponsor does not need to forfeiture the excess amount.
Does the $150 remain in the account and then get used to offset the 2021 match? Or does the owner get the benefit of the excess contribution for 2020?
I'm trying to wrap my head around the fact that the owner would be receiving an allocation higher than the NHCEs. If the excess were used to offset the 2021 contribution I could understand leaving the money in the account. Needing to remember to track the excess as an advance for 2021 could be a nightmare."
|Please click here to report this link if it is broken (for example, if you see a "404 File Not Found" error message after you click on the link above).|
|An important word about authorship: BenefitsLink® is providing a hypertext link to the item shown above, but is not the author of the item (unless otherwise specified).|
Advertise in the BenefitsLink Newsletters