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IRS Issues Guidance on Required Inclusion of Long-Term, Part-Time Employees in 401(k) Plans, Including Application to Governmental Plans
Hanson Bridgett LLP 
[Guidance Overview] Jan. 31, 2024 "The proposed IRS regulations provide clarification on who long-term, part-time employees are and how to determine their eligibility and vesting rights. Long-term, part-time employees may be excluded from nondiscrimination and coverage testing, and top-heavy vesting and contributions. The IRS summary indicates that the long-term, part-time employee rules also apply to ERISA-exempt governmental and church plans, but the IRS is requesting comments on that issue." |
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