Plan Specifications: | General | Eligibility | Contributions | Vesting | Distribution |
Allocation Parameters | Combined Testing Parameters | ADP/ACP Parameters | General Test Parameters | Top Heavy Parameters |
Select Plan type from the following options:
Select "Yes" if the plan is active, "No" if inactive
If the plan is inactive, enter the date it became inactive.
Select either SSN or Employee Number as ID for data upload and download.
Enter Plan Year end in MM-DD format.
Select yes if first year plan is in existence (not first year on FTW Admin System).
Enter original effective date of plan.
Select "Yes" if elective deferrals are permitted.
Select "Yes" if Roth elective deferrals are permitted.
Select "Yes" if after-tax contributions are permitted.
Select "Formerly Allowed" if after-tax contributions were permitted in the past.
Select "Yes" if matching contributions are permitted.
Select "Yes" if profit sharing contributions are permitted.
Select "Yes - All Eligible Employees" if rollover contributions are permitted, even by employees who have not met the initial eligible requirements to become a plan participant.
Select "Yes - All Only Active Participants" if rollover contributions are permitted by participants only.
Select "Yes" if participant balances will be tracked by investment source (mutual fund, stock, bond, etc.).
Select "Yes" if will be imported from a vendor.
Enter import ID code if financial data will be imported from a vendor.
Click "Working with Accounts" to set up plan accounts [401(k), Match, Profit Sharing, etc.]. This is a mandatory step when setting up a plan for the first time. The census scrub process will fail if accounts are not established.
Click "Work with Sources" to add sources (index fund, stock fund, bond fund, etc.). Once sources have been created, other edit options are available under "Working with Accounts".
Select "Yes" to override system determination of Highly Compensated and Key employees.
Select "Yes" to use top-paid group election (only top 20% in compensation will be considered to be HCE for testing purposes.
Select "Yes" to use calendar year data election for compensation (fiscal year plan years). This means the calendar year ending within the fiscal plan year is used for annual compensation For example, a April 1, 2009 to March 31, 2010 plan year would use compensation for the calendar year ending December 31, 2009.
If top-paid group election is elected, select "Yes" to exclude permitted classes when determining top-paid employees (employees who have not completed six months service by the end of the plan year, employees who normally work less than 17 1/2 hours per week, employees who work less than six months per year or employees younger than 21. There are special rules for union employees.
Select "Yes" to override compensation limit (Plan Limits Table).
If compensation limit override elected, enter dollar amount.
Select "Yes" to override deferral limit (Plan Limits Table).
If deferral limit override elected, enter dollar amount.
If deferral limit override elected, enter dollar limit amount.
Select "Yes" to override Catchup Limit (Plan Limits Table).
If catchup limit override elected, enter dollar amount.
Select "Yes" to override 415 dollar limit (Plan Limits Table).
If 415 dollar limit override elected, enter dollar amount.
Select "Yes" to override 415 percent limit.
If 415 percent limit override elected, enter percent limit.
Select "Yes" to override FICA limit (Plan Limits Table).
If FICA limit override elected, enter dollar amount.
Select "Yes" to override TH Officer limit (Plan Limits Table).
If TH Officer limit override elected, enter dollar amount.
Select "Yes" to override TH Officer limit (Not indexed, limit frozen at $150,000).
If TH 1% Officer limit override elected, enter dollar amount.
Select "Yes" to override HCE Compensation limit (Plan Limits Table).
If HCE Compensation limit override elected, enter dollar amount.
Select "Yes" to override system determination of prior year eligibility service.
Select "Yes" to override system determination of prior year participation service.
Select "Yes" to override system determination of initial eligibility status/entry date.
Select "Yes" to override system determination of continuing eligibility.
Exclude Employees covered under a collective bargaining agreement from definition of Eligible Employee Top
Select "Yes" to Exclude CBA Employees from definition of eligible employee.
Above applies for purposes of Elective Deferrals and Voluntary Contributions Top
Select "Yes" to apply CBA exclusion for purposes of Elective Deferrals and Voluntary Contributions.
Above applies for purposes of Matching Contributions Top
Select "Yes" to apply CBA exclusion for purposes of Matching Contributions.
Above applies for purposes of Profit Sharing Contributions Top
Select "Yes" to apply CBA exclusion for purposes of Profit Sharing Contributions.
Exclude leased Employees from definition of Eligible Employee Top
Select "Yes" to Exclude Leased Employees from definition of eligible employee.
Above applies for purposes of Elective Deferrals and Voluntary Contributions Top
Select "Yes" to apply Leased Employee exclusion for purposes of Elective Deferrals and Voluntary Contributions.
Above applies for purposes of Matching Contributions Top
Select "Yes" to apply Leased Employee exclusion for purposes of Matching Contributions.
Above applies for purposes of Profit Sharing Contributions Top
Select "Yes" to apply Leased Employee exclusion for purposes of Profit Sharing Contributions.
Exclude nonresident aliens from definition of Eligible Employee Top
Select "Yes" to Exclude Non-Resident Aliens from definition of eligible employee.
Above applies for purposes of Elective Deferrals and Voluntary Contributions Top
Select "Yes" to apply NRA exclusion for purposes of Elective Deferrals and Voluntary Contributions.
Above applies for purposes of Matching Contributions Top
Select "Yes" to apply NRA exclusion for purposes of Matching Contributions.
Above applies for purposes of Profit Sharing Contributions Top
Select "Yes" to apply NRA exclusion for purposes of Profit Sharing Contributions.
Exclude other Employees from definition of Eligible Employee (any exclusion must satisfy Code section 401(a)) Top
Select "Yes" to Exclude Other Employees from definition of eligible employee.
If "Yes", enter code for Elective Deferrals Top
If Other Employee exclusion applies enter code for Elective Deferrals and Voluntary Contributions. Any employee excluded under this category should be identified as "Other" in Employee Class drop-down menu. Additionally, a user-defined code to identify the class must be entered in the EmployeeClassOther field. For example, if dental hygienists are excluded, "Other" would be selected as the Employee Class for each hygienist. A user-defined code, such as "DH" would be entered in the EmployeeClassOther field and as the "code" for this plan specification.
If "Yes", enter code for Match Top
If Other Employee exclusion applies enter code for Matching Contributions. Any employee excluded under this category should be identified as "Other" in Employee Class drop-down menu. Additionally, a user-defined code to identify the class must be entered in the EmployeeClassOther field. For example, if dental hygienists are excluded, "Other" would be selected as the Employee Class for each hygienist. A user-defined code, such as "DH" would be entered in the EmployeeClassOther field and as the "code" for this plan specification.
If "Yes", enter code for Nonelectives Top
If Other Employee exclusion applies enter code for Profit Sharing Contributions. Any employee excluded under this category should be identified as "Other" in Employee Class drop-down menu. Additionally, a user-defined code to identify the class must be entered in the EmployeeClassOther field. For example, if dental hygienists are excluded, "Other" would be selected as the Employee Class for each hygienist. A user-defined code, such as "DH" would be entered in the EmployeeClassOther field and as the "code" for this plan specification.
An Employee may irrevocably elect not to participate in the Plan Top
Select "Yes" to allow an Employee to irrevocably elect to not participate in the Plan.
Eligibility Computation Period switch to Plan Year Top
Select "Yes" if the eligibility computation period switches to the Plan Year after the first year. The first eligibility computation period runs for one year from date of hire, e.g. August 3, 2009 to August 2, 2010. If "Yes", the second eligibility computation period would begin on January 1, 2010 and end on December 31, 2010.
Minimum age requirement for Elective Deferrals/Voluntary Contributions Top
Select age from a range of 18 to 21 or "None".
Minimum service requirement for Elective Deferrals/Voluntary Contributions Top
Select service from a range of Years, Months, "Specified Hours of Service" or "None".
Eligibility service computation method Top
Select "hours of service" or "elapsed time".
If "Hours of Service" and not "None", enter the Hours of Service that must be completed in the period described above (without commas) Top
If hours of service selected and minimum service requirement not "None", enter the hours of service that must be completed to satisfy minimum service requirement (without commas).
Frequency of entry dates for Elective Deferrals/Voluntary Contributions Top
Select "Immediate", "first day of the calendar month" "first day of each plan quarter", "first day of the first month and seventh month of the plan year" or "first day of the plan year".
If not "Immediate" or "other dates", selection of entry date Top
Select "coincident with or next following" or "next following".
Minimum age requirement for Matching Contributions Top
Select age from a range of 18 to 21 or "None".
Minimum service requirement for Matching Contributions Top
Select service from a range of Years, Months, "Specified Hours of Service" or "None".
Eligibility service computation method Top
Select "hours of service" or "elapsed time".
If "Hours of Service" and not "None", enter the Hours of Service that must be completed in the period described above (without commas) Top
If hours of service selected and minimum service requirement not "None", enter the hours of service that must be completed to satisfy minimum service requirement (without commas).
Frequency of entry dates for Matching Contributions Top
Select "Immediate", "first day of the calendar month" "first day of each plan quarter", "first day of the first month and seventh month of the plan year" or "first day of the plan year".
If not "Immediate" or "other dates", selection of entry date Top
Select "coincident with or next following", "next following", "coincident with or immediately preceding", "immediately preceding" or "nearest to".
Minimum age requirement for Profit Sharing Contributions Top
Select age from a range of 18 to 21 or "None".
Minimum service requirement for Profit Sharing Contributions Top
Select service from a range of Years, Months, "Specified Hours of Service" or "None".
Eligibility service computation method Top
Select "hours of service" or "elapsed time".
If "Hours of Service" and not "None", enter the Hours of Service that must be completed in the period described above (without commas) Top
If hours of service selected and minimum service requirement not "None", enter the hours of service that must be completed to satisfy minimum service requirement (without commas).
Frequency of entry dates for Profit Sharing Contributions Top
Select "Immediate", "first day of the calendar month" "first day of each plan quarter", "first day of the first month and seventh month of the plan year" or "first day of the plan year".
If not "Immediate" or "other dates", selection of entry date Top
Select "coincident with or next following", "next following", "coincident with or immediately preceding", "immediately preceding" or "nearest to".
Rule of parity. If an Employee does not have any nonforfeitable right to Employer contributions, exclude eligibility service before a period of five (5) consecutive One-Year Breaks in Service/Periods of Severance Top
If an Employee does not have any nonforfeitable right to Employer Contributions, exclude eligibility service before a period of five (5) consecutive One-Year Breaks in Service/Periods of Severance. Cannot be used if elective deferrals have been made prior to the break, regardless of amount.
One-year holdout. If an Employee has a One-Year Break in Service/Period of Severance, exclude eligibility service before such period until the Employee has completed a Year of Eligibility Service after returning to employment with the Employer Top
If an Employee has a One-Year Break in Service/Period of Severance, exclude eligibility service before such period until the Employee has completed a Year of Eligibility Service after returning to employment with the Employer. Used rarely because entry is retroactive to rehire date and impractical for Elective Deferrals.
Allow immediate participation for all Eligible Employees employed on the date specified below Top
Options Include:
If "Yes", the special participation rule shall apply to all Eligible Employees employed on Top
If Special Participation Date is "Yes", enter date.
If "Yes", the Eligible Employees employed on the date specified above shall become eligible to participate in the Plan as of Top
If Special Participation Date is "Yes", enter participation (entry) date.
If "Yes", does the Plan provide any conditions or limitations on immediate participation Top
If Special Participation Date is "Yes", enter additional conditions or limitations (if applicable).
Select from range of 1% to 3% or None.
Select from range of 5% to 100%.
Select "Yes" if lower maximum elective deferral applies to HCE.
If "Yes", select from range of 5% to 100%.
Select from range of 1% to 3% or None.
Select from range of 5% to 100%.
Select from range of 5% to 100%.
Select "Yes" if voluntary contributions can be matched.
If Roth Deferrals are permitted select hierarchy for return (First, Last or Prorate).
Select "Yes" or "No". If "Yes", Participants to attain age 50 at any time during the Plan Year are eligible to make catch-ups.
Select "Yes" if the Company will exclude union members from EGTRRA catch-ups otherwise select "No".
Select "Yes" if the Company will include a Participants EGTRRA catch-up contributions in the definition of Matched Employee Contributions otherwise select "No". If "Yes" is selected, this means catch-ups can be matched.
Select the Safe harbor type. Options are:
Select the nondiscrimination tests that are deemed to be passed. Options are:
If matching safe harbor, exclusions for eligibility:
Select the classes to be excluded from receiving a safe harbor match contribution. Options are:
If matching safe harbor, service requirement for safe harbor eligibility:
Based on the plan document, select the service requirements (if any) that must be met for an employee to receive a safe harbor match contribution. Options are:
If matching safe harbor, minimum age requirement:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the minimum age requirement an employee must meet before becoming eligible to receive a safe harbor match contribution. Options are none and age 18 through age 21. If there is no age requirement, select �€˜none�€™.
If matching safe harbor, minimum service requirement:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the minimum service requirement an employee must meet before becoming eligible to receive a safe harbor match contribution. Options include:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to enter the minimum number of hours an employee must work before becoming eligible to receive a safe harbor match contribution.
If matching safe harbor, frequency of entry dates:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the entry date frequency. Options include:
If matching safe harbor and not "Immediate", selection of entry date:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the entry date frequency. Options include:
Select �€˜Yes�€™ to enable the ability to enter hours of service required for Highly Compensated Employees to receive a safe harbor match contribution. Select �€˜No�€™ if there are no hours required for Highly Compensated Employees to receive a safe harbor matching contribution.
If the prior question, �€˜Require service for Highly Compensated Employees to receive safe harbor matching contribution�€™ is set to �€˜Yes�€™, this option will become available; giving the user the ability to enter the number of hours required for HCEs to meet to receive a safe harbor matching contribution.
If set to �€˜Yes�€™, HCEs must be employed on the last day of the plan year to receive a safe harbor matching contribution. If set to �€˜No�€™, HCEs do not have to be employed on the last day of the plan year to receive a safe harbor matching contribution.
If non-elective safe harbor, exclusions for eligibility:
Select the classes to be excluded from receiving a safe harbor non-elective contribution. Options are:
If non-elective safe harbor, service requirement for safe harbor eligibility:
Based on the plan document, select the service requirements (if any) that must be met for an employee to receive a safe harbor non-elective contribution. Options are:
If non-elective safe harbor, minimum age requirement:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the minimum age requirement an employee must meet before becoming eligible to receive a safe harbor non-elective contribution. Options are none and age 18 through age 21. If there is no age requirement, select �€˜none�€™.
If non-elective safe harbor, minimum service requirement:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the minimum service requirement an employee must meet before becoming eligible to receive a safe harbor non-elective contribution. Options include:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to enter the minimum number of hours an employee must work before becoming eligible to receive a safe harbor non-elective contribution.
If non-elective safe harbor, frequency of entry dates:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the entry date frequency. Options include:
If non-elective safe harbor and not "Immediate", selection of entry date:
If �€œParticipants meeting other age and service requirements�€� was selected above, this option will become available; giving the user the ability to select the entry date frequency. Options include:
Select �€˜Yes�€™ to enable the ability to enter hours of service required for Highly Compensated Employees to receive a safe harbor non-elective contribution. Select �€˜No�€™ if there are no hours required for Highly Compensated Employees to receive a safe harbor non-elective contribution.
If the prior question, �€˜Require service for Highly Compensated Employees to receive safe harbor non-elective contribution�€™ is set to �€˜Yes�€™, this option will become available; giving the user the ability to enter the number of hours required for HCEs to meet to receive a safe harbor non-elective contribution.
If set to �€˜Yes�€™, HCEs must be employed on the last day of the plan year to receive a safe harbor non-elective contribution. If set to �€˜No�€™, HCEs do not have to be employed on the last day of the plan year to receive a safe harbor non-elective contribution.
A Participant will receive an allocation of Matching Contributions if he or she is employed by the Company on the last day of Plan Year or completes the Hours of Service required Top
Select "Yes" if eligibility to receive Matching Contributions is met if either the last day or hours requirement is satisfied.
Selecting "No" means that a Participant has to be employed on the last day of the Plan Year AND must have completed the required number of Hours of Service.
If "Yes" is selected, you must enter the number of required Hours of Service on the next line.
Enter Hours of Service Required Top
Hours of Service Required may not be greater than 500 hours.
Require service for a Participant to receive an allocation of Matching Contributions? Top
Enter "Yes" if the Plan requires a minimum number of Hours of Service for Participants to receive a Matching Contribution, or enter "No" if the Plan does not require a minimum number of Hours of Service for Participants to receive a Matching Contribution.
Hours of Service required in the applicable Plan Year for a Participant to receive an allocation of Matching Contributions (1000 maximum without commas) Top
Enter up to 1000 maximum without commas.
Require employment by the Company on the last day of Plan Year for a Participant to receive an allocation of Matching Contributions? Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to death Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to Disability Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to attainment of Normal Retirement Age Top
Select "Yes" or "No".
Any Hour of Service requirement and last day requirement shall be modified upon the occurrence of the events above as follows Top
Select how Hour of Service and/or last day requirement will be modified. Options are:
Method to fix Matching Contribution Code section 410(b) ratio percentage coverage failures Top
If
the Plan fails the Code section 410(b) coverage test for Matching
Contribution, specify whether the Plan will automatically make
additional Participants eligible to receive allocations of Matching
Contributions. Options are:
A Participant will receive an allocation of Profit Sharing Contributions if he or she is employed by the Company on the last day of Plan Year or completes the Hours of Service specified Top
Select "Yes" if eligibility to receive NonElective Contributions is met if either the last day or hours requirement is satisfied.
Selecting "No" means that a Participant has to be employed on the last day of the Plan Year AND must have completed the required number of Hours of Service.
If "Yes" is selected, you must enter the number of required Hours of Service on the next line.
Enter Hours of Service Required Top
Hours of Service Required may not be greater than 500 hours.
Require service for a Participant to receive an allocation of Profit Sharing Contributions? Top
Enter "Yes" if the Plan requires a minimum number of Hours of Service for Participants to receive a NonElective Contribution, or enter "No" if the Plan does not require a minimum number of Hours of Service for Participants to receive a NonElective Contribution.
Hours of Service required in the applicable Plan Year for a Participant to receive an allocation of Profit Sharing Contributions (1000 maximum without comma) Top
Enter up to 1000 maximum without commas.
Require employment by the Company on the last day of Plan Year for a Participant to receive an allocation of Profit Sharing Contributions? Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to death Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to Disability Top
Select "Yes" or "No".
Modify Hour of Service requirement and last day requirement for a Participant who Terminates employment with the Employer during the Plan Year due to attainment of Normal Retirement Age Top
Select "Yes" or "No".
Any Hour of Service requirement and last day requirement shall be modified upon the occurrence of the events above as follows Top
Select how Hour of Service and/or last day requirement will be modified. Options are:
Method to fix Profit Sharing Contribution Code section 410(b) ratio percentage coverage failures Top
If
the Plan fails the Code section 410(b) coverage test for NonElective
Contribution, specify whether the Plan will automatically make
additional Participants eligible to receive allocations of NonElective
Contributions. Options are:
Profit Sharing allocation formula Top
Select
the method of determining the amount and the allocation of the
Company's Profit Sharing Contribution. The options are as follows:
| Integration Level | Permitted Disparity |
|---|---|
| More than $0 but not more than 20% of the TWB | 5.7% |
| More than 20% of the TWB but not greater than 80% of the TWB | 4.3% |
| More than 80% of the TWB but less than 100% of the TWB | 5.4% |
| 100% of the TWB | 5.7% |
| TWB = taxable Wage Base (as defined under Section 230 of the Social Security Act) | |
Profit Sharing Davis Bacon Top
Select "Yes" if the Plan also provides for a Davis Bacon allocation formula in an amount necessary to meet the Company's requirements under an applicable prevailing wage statute.
Profit Sharing Davis Bacon offset Top
If the Plan provides for a Davis Bacon allocation formula, select "Yes" if the prevailing wage allocations will offset any other Profit Sharing allocation that would otherwise be made to a Participant.
Select "Yes" if the Plan also provides for an allocation formula under a collective bargaining agreement in an amount necessary to meet the Company's requirements under an applicable collective bargaining agreement.
If the Plan provides for an allocation formula under a collective bargaining agreement, select "Yes" if the collective bargaining agreement allocations will offset any other Profit Sharing allocation that would otherwise be made to a Participant.
If "Integrated", integration level for determining Excess Compensation Top
Select integration level for determining Excess Compensation: The options are:
If "Integrated", and using "fixed percentage" or "fixed dollar amount", enter fixed percentage or fixed dollar amount (without % or $ or commas) Top
The "Fixed percentage" entered must not exceed 100 (without %). The "Fixed dollar amount" must not exceed the amount of the taxable wage base (without $ or commas) in effect on the first day of such Plan Year.
If "Points", points will be computed on basis of Top
Options are:
Allocations will be made in the ratio that such Participant's points bears to the points of all eligible Participants. Each Participant shall receive to the extent provided in allocation formula. If after application of the foregoing, the average of the allocation rates for eligible Highly Compensated Employees exceeds the average of the allocation rates for eligible Nonhighly Compensated Employees, each eligible Nonhighly Compensated Employee who has earned any points during the Plan Year shall be awarded the same minimum number of points (or fraction of a point) so that the average of the allocation rates for eligible Highly Compensated Employees does not exceed the average of the allocation rates for eligible Nonhighly Compensated Employees.
Unit of comp for which points awarded Top
If the allocation formula includes Compensation, enter a dollar amount (Points usually awarded based on each $100 of Compensation).
If "Points", points awarded for each unit of Compensation Top
If the allocation formula includes Compensation, enter points awarded for each Unit of Compensation.
Select one of three options:
If eligibility, use actual service or time since initial eligibility Top
If Service Type "Eligibility" select either "Actual Service" or "Time Since Eligible" as the eligibility determination period.
If "Points", points awarded for each year of service Top
If the allocation formula includes Years of Service, enter the points awarded for each Year of Service.
If "Points", points awarded for each year of age Top
If the allocation formula includes Years of Age, enter the points awarded for each Year of Age.
Profit Sharing Contributions are subject to a minimum amount Top
Options are:
If "Yes", enter the minimum amount Top
If "Yes", enter either the minimum percentage or minimum dollar amount.
Profit Sharing Contributions are subject to a maximum amount Top
Options are:
If "Yes", enter the maximum amount Top
If "Yes", enter either the maximum percentage or maximum dollar amount.
Options are:
Options are
If "Other", vesting computation period (MM-DD).
Enter a number greater than zero and equal to or less than 1000 (without commas).
Select "Yes" to override system calculation of vesting service.
Options are:
Select "Yes" or "No".
Select "Yes" or "No".
If an Employee has a One-Year Break in Service/Period of Severance, exclude Years of Vesting Service before such period until the Employee has completed a Year of Vesting Service after returning to employment with the Employer.
If an Employee does not have any nonforfeitable right to Employer Contributions, exclude Years of Vesting Service before a period of five (5) consecutive One-Year Breaks in Service/Periods of Severance.
Note. Cannot be used if elective deferrals have been made prior to the break, regardless of amount.
Options are:
Select age drop-down listing.
Options are:
Select "Yes" or "No".
If less than age 59-1/2, Elective Deferrals, QNECs, QMACs and the portion of any Account that has been used to satisfy the safe harbor requirements of Code sections 401(k)(12) and/or 401(m)(11) shall not be eligible for withdrawal until age 59-1/2.
Select "Yes" to override system calculation of matching contribution if, for example, the match was calculated by the client.
Select "Yes" to override system calculation of nonelective contribution if, for example, the profit sharing contribution was calculated by the client.
Select "Yes" to override system calculation of points if, for example, points were calculated by the client.
Select "Yes" to override system calculation of average benefits percentage (ABP) if, for example, ABT was calculated by an actuary.
If "Yes", override system calculation of average benefits percentage (ABP), enter percentage (up to two decimal places without the % sign, e.g. 2.33).
Select "Yes" if there is another plan (or plans) that must be included in average benefits testing.
Select �€œYes�€� when not all the deferrals for the plan year are matched if, for example, the plan has dual initial eligibility and the participant is eligible to defer on 1/1 but only eligible for match on 7/1.
Number of Safe Harbor Matching rates Top
Select "One", "Two", or "None". If there are more than two tiers of safe harbor match, enter third and subsequent tiers in section titled "Matching - Fixed Rates".
Enter rate of Matching Contributions on first tier (without % sign) Top
Enter the rate. If the first tier rate of match is 150%, enter "150.00".
Enter maximum amount of Employee Contributions matched on first tier (without % sign) Top
Enter the amount. If the plan matches 150% of the first 2.25% of deferrals, enter "2.25".
If two tiers, enter rate of Matching Contributions on second tier (without % sign) If one tier, enter zero Top
Enter the rate. If the second tier rate of match is 50%, enter "50.00".
If two tiers enter maximum amount of Employee Contributions matched on second tier (without % sign) Top
Enter the amount. If the plan matches 50% of the next 1.75% of deferrals, enter "50.00" and "4.00" The maximum amount in the second tier is the sum of the first tier maximum and second tier maximum, i.e. 2.25% + 1.75% = 4.00%.
Matching Contribution formula (if SH Match, enter number of added Tiers) Top
Select "One", "Two", "Three", "Four", "Years of Service", or "None".
Indicate whether max component of tier is percent or dollar amount Top
Select "Percent", "Dollar", or "None".
Enter rate of Matching Contributions on first tier Top
Enter the rate. If the first tier rate of match is 150%, enter "150.00".
Enter maximum amount of Employee Contributions matched on first tier Top
Enter the amount. If the plan matches 150% of the first 2.25% of deferrals, enter "2.25".
If the maximum amount is a dollar amount, enter the amount (without $ sign).
If two tiers, enter rate of Matching Contributions on second tier Top
Enter the rate. If the second tier rate of match is 50%, enter "50.00".
If two tiers enter maximum amount of Employee Contributions matched on second tier Top
Enter the amount. If the plan matches 50% of the next 1.75% of deferrals, enter "50.00" and "4.00" The maximum amount in the second tier is the sum of the first tier maximum and second tier maximum, i.e. 2.25% + 1.75% = 4.00%. If the maximum amount is a dollar amount, enter the amount (without $ sign). As with the percentage maximum, the dollar amount for tiers after the first tier is the sum of all tiers.
If three tiers, enter rate of Matching Contributions on third tier Top
Enter the rate. If the third tier rate of match is 20%, enter "20.00".
If three tiers enter maximum amount of Employee Contributions matched on third tier Top
Enter the amount. If the plan matches 20% of the next 2.00% of deferrals, enter "20.00" and "6.00" The maximum amount in the third tier is the sum of the first tier maximum, second tier maximum and third tier maximum , i.e. 2.25% + 1.75% + 2.00% = 6.00%. If the maximum amount is a dollar amount, enter the amount (without $ sign). As with the percentage maximum, the dollar amount for tiers after the first tier is the sum of all tiers.
If four tiers, enter rate of Matching Contributions on fourth tier Top
Enter the rate. If the fourth tier rate of match is 10%, enter "10.00".
If four tiers enter maximum amount of Employee Contributions matched on fourth tier Top
Enter the amount. If the plan matches 10% of the next 1.00% of deferrals, enter "10.00" and "7.00" The maximum amount in the third tier is the sum of the first tier maximum, second tier maximum, third tier maximum and fourth tier maximum , i.e. 2.25% + 1.75% + 2.00% + 1.00% = 7.00%. If the maximum amount is a dollar amount, enter the amount (without $ sign). As with the percentage maximum, the dollar amount for tiers after the first tier is the sum of all tiers. For example, if the dollar amounts for tiers one through four were $2,000, $1,500, $1,000 and $500, the maximum entered for the fourth tier would be $5,000.
If "Years of service", describe years of service that applies to the first band Top
Enter number of years, e.g. for 2.5 years enter "2.50".
If "Years of service", describe the matching percentage that applies to the first band Top
Enter the amount. If the plan matches 50% of deferrals for the first 2.5 years of service, enter "50.00".
If "Years of service", describe years of service that applies to the second band Top
Enter number of years, e.g. for 5 years enter "5.0".
If "Years of service", describe the matching percentage that applies to the second band Top
Enter the amount. If the plan matches 40% of deferrals for the next 5 years of service, enter "40.00".
If "Years of service", describe years of service that applies to the third band Top
Enter number of years, e.g. for 10 years enter "10.00".
If "Years of service", describe the matching percentage that applies to the third band Top
Enter the amount. If the plan matches 30% of deferrals for the next 10 years of service, enter "30.00".
If "Years of service", describe years of service that applies to the fourth band Top
Enter number of years, e.g. for 5 years enter "5.0".
If "Years of service", describe the matching percentage that applies to the fourth band Top
Enter the amount. If the plan matches 20% of deferrals for the next 5 years of service, enter "20.00".
NOTE: Unlike regular tiered matching formula, the maximum amount in the second and subsequent tiers of a years of service formula is not the sum of all tiers
If "Years of service", the formula applies to all matched contributions Top
Select "Yes" or "No".
If "Years of service" and above is "No", only Matched Contributions that are not in excess of the following percentage of the Participants Compensation shall be matched Top
Enter the percent (without % sign).
If "Years of service", describe the service to use Top
Select "Years of Eligibility Service" or "Years of Vesting Service".
If "Years of service", enter the number of Hours of Service necessary to earn a year of service described above Top
Enter hours (maximum of 1000).
Plan limits Matching Contributions to a maximum amount/percentage in each Plan Year Top
Select "Yes" or "No".
If "Yes", enter the maximum percentage or dollar amount (without $ or % signs or commas) Top
Enter the percent (without % sign).
Matching Contributions are allocated to Participant Accounts at the following time(s) Top
Select "End of Plan Year", "Semi-annually", "Quarterly", "Each calendar month", "Each pay period" or "At Company discretion".
If there a maximum dollar amount and allocations are not End of Plan Year, apply the dollar limit Top
Select "On a Plan Year basis only", "Prorata as of each Allocation Period".
Top Heavy First or Top Heavy Last.
NOTE: In the profit sharing allocation formula is integrated with Social Security, Top Heavy Last cannot be used.
Select "Yes" or "No".
Select "N/A - No other plan", "Defined Contribution", or "Defined Benefit"
Select "Yes" or "No".
Select either "All Participants" or Non-Key only.
"Yes" to exclude otherwise excludable employees from receiving a Top Heavy minimum allocation.
Select "Yes" or "No".
Enter aggregation Group ID.
Enter a percent (without % sign), equal to or greater than the highest allocation received by a Key Employee, but no more than 3%.
NOTE: The top heavy allocation could be, but is not required to be, more than 3%. Also, salary deferrals made by Key Employees ARE included in determining the highest allocation received by a Key Employee.
Nonelective Safe Harbor contribution Top
Enter percent (without % sign).
Select "Dollar", "Specified", i.e. percent, "Maximize" or "None".
Nonelective contribution in total dollars to be allocated Top
If allocation type "Dollar", enter nonelective contribution in total dollars (without $ sign).
Nonelective contribution in percent Top
If allocation type "Specified", enter nonelective contribution in percent (without % sign).
Maximize Nonelective contribution Top
If allocation type "Maximize", select the group of participants to maximize and amount to maximize in Maximize Parameters section below.
If integrated, enter amount of permitted disparity Top
If integrated, enter amount of permitted disparity in percent (without % sign).
Enter percent (without % sign) if allocation type is "Specified".
Dollar amount of allocation per point Top
If "Points" allocation method, enter the dollar amount of allocation per point (without $ sign).
This is usually $100 of compensation per point.
Dollar amount of Fixed Amount allocation Top
If "Fixed Amount" allocation method, enter the fixed allocation (without $).
Under this method, each Participant received the same amount, regardless of compensation.
Age Weighted dollar amount of allocation per factor Top
Enter dollar amount (without $ sign).
Select "7.5%", "8.0" or "8.5".
Age Weighted Actuarial Table Top
Select table from drop down listing.
Provide decrement for participants past NRA Top
Select "Yes" or "No". Instead of using a factor of 1 for anyone older than NRA, the number is reduced by post-retirement mortality.
Select Group of Participants to maximize: Top
Select "HCE" if you wish to maximize all HCEs to a specific limit/amount. The system will find the HCE with the highest allocation percent and allocate the contribution based on that percentage. The system will automatically cap any participant at the 415 limit as applicable.
Select "Participant" if you have a specific participant to be maximized and click Refresh. After clicking Refresh a new option will appear �€œID of Participant to maximize�€�.
Select "415 limit" to have the group of participants selected maximized at the 415 limit applicable for the year.
Select "Fixed amount" to enter the dollar amount to be allocated to the participant or each participant in the group selected to be maximized.
If maximize fixed amount, enter amount: Top
If "Amount to maximize" is "fixed" this option will become available. Enter the dollar amount to be allocated to each member of the group specified. If the amount entered would cause a participant to exceed the 415 limit, that participant will be capped at the 415 limit automatically.
ID of Participants to maximize: Top
Select the name of the participant to be maximized. The participant selected must be eligible for a Nonelective contribution.
Select "None", "Dollar" or "Specified". Selecting "None" will prevent a QNEC from being allocated. Selecting "Dollar" will permit the user to enter a dollar amount total below to be allocated to all eligible participants. Selecting "Specified" will permit the user to enter a contribution percentage below that will be allocated to each eligible participant.
Nonelective contribution in total dollars to be allocated: Top
Enter the total contribution amount to be allocated among the eligible participants.
Nonelective contribution in percent: Top
Enter the percent of compensation to be allocated to each eligible participant. Example: If 1% of compensation is to be allocated to each participant, enter "1".
| Overrides |
| Aggregation/Disaggregation |
|
| 415 Testing |
| 404 Deduction Testing |
| 414(s) Compensation Testing |
Testing Divisions used (e.g. Multiple Employer Plan) Top
Select "Yes" or "No".
Select "Yes" or "No".
Testing Aggregation group ID Top
Enter ID used for all Plans in aggregation group.
Disaggregation using otherwise excludable employees Top
Select "Yes" or "No".
Select "Yes" or "No".
Enter ID used for all Plans in aggregation group.
NOTE: For 415 aggregation purposes, aggregation is required if joint ownership is 50%. This is different than normal controlled group percentage ownership minimums.
Select "Yes" or "No".
If 404 percent limit override elected, enter percent limit.
Select "Yes" to include a participant that is eligible to defer but not receiving an employer contribution. Select "No" to exclude a participant that is eligible to defer but not receiving an employer contribution.
Select "Yes" or "No".
Select "Yes" or "No".
If "de minimis amount", enter the dollar amount (without $).
Select "Yes" or "No".
| Overrides |
| Testing Parameters |
|
| Prior Year Elections |
|
Select "Yes" to override system determination 402(g) and Catchup calculations.
Two definitions of compensation used
Select "Yes" or "No". For example, ADP/ACP Compensation 1 (Comp including deferrals) and ADP/ACP Compensation 2 (Comp less deferrals).
Select "Yes" or "No". This means shifting deferrals to match for testing purposes only.
Select "Yes" or "No". This means shifting QNEC to match for testing purposes only.
Borrow Dav Bacon QNEC from ADR Top
Select "Yes" or "No". This means shifting Davis Bacon QNEC to match for testing purposes only.
Select "Yes" or "No". Catch-ups can be created under three conditions: 1) Failed ADP test; 2) Failure due to Plan imposed limit on deferrals; and 3) 415 annual additions violation.
Select "Yes" or "No". Recharacterization means converting before-tax 401(k) deferrals to after-tax employee contributions and is rarely done.
Roth correction order for ADP failures Top
Select "Last", "First" or "Prorate".
Select either "Safe Harbor" or "Actual".
GAP Refund income calculation Top
Select "Safe Harbor", "Actual" or "No".
Refund matching contributions made on deferrals refunded due to failed ADP test:
Select "Yes" or "No".
Select either "Current Year" or "Prior Year".
Enter percent (without % sign).
Prior year % (Disagg Under) Top
Enter percent (without % sign).
Prior year % (Disagg Over) Top
Enter percent (without % sign).
Prior year NHCE Count (All) Top
Enter whole number.
Prior year NHCE Count (Disagg Under) Top
Enter whole number.
Prior year NHCE Count (Disagg Over) Top
Enter whole number.
Select either "Current Year" or "Prior Year".
Enter percent (without % sign).
Prior year % (Disagg Under) Top
Enter percent (without % sign).
Prior year % (Disagg Over) Top
Enter percent (without % sign).
Prior year NHCE Count (All) Top
Enter whole number.
Prior year NHCE Count (Disagg Under) Top
Enter whole number.
Prior year NHCE Count (Disagg Over) Top
Enter whole number.
First Plan Year as a 401(k) plan Top
Select either "Yes" or "No". (NOT the first year the plan is on ftwilliam.com's admin system)
ADP NHCE % for first Plan Year Top
Select either "3%" or "Current year percentage".
ACP NHCE % for first Plan Year Top
Select either "3%" or "Current year percentage".
| General Test |
Select either "Current Year" or "Account Balances"
Current Year tests using current year allocations only; Account Balances tests on account balances derived from employer contributions (current and prior plan years).
Select "Yes" to override NRA entered in Distribution section of Plan Specifications.
If Override NRA Age is "Yes", enter age to be used in testing.
Select either "Standard" or "Cross Test".
Cross Test projects benefits to NRA while a Standard General Test does not project benefits into the future.
Select either "Last" or "Nearest". Selecting Last uses a Participant's age at the end of the Plan Year. Selecting Nearest could skew test results, depending on birth dates of HCE and NHCE. The testing age for anyone born in the first six months of a Plan Year (assuming a calendar year plan year) is the age attained during the Plan Year.
For anyone born after June 30th, the testing age would be attained age on the next birthday (January 1 to June 30 of the next Plan Year).
Select "Yes" or "No". Imputed disparity cannot be used if NRA is less than 55.
Select "7.5%", "8.0%", or "8.5%".
Select one of the tables listed.
Select "Yes" to override system calculated result.
Select "Yes" to override system calculation of top heavy ratio.
System generated, or select "Yes" or "No".
NOTE: The Determination Date for top heavy minimum allocations that may be required in this Plan Year is the last day of the prior Plan Year. If the Plan was on ftwilliam.com's admin system in the prior Plan Year, the Top Heavy ratio and various Top Heavy balances are populated from prior Plan Year data. To override system generated numbers, manually enter information in the applicable fields for the last Plan Year.
System generated, or enter percent of assets held by Key Employees (without % sign).
System generated, or enter dollar value of assets held by Key Employees (without $).
System generated, or enter dollar value of assets held by Non-Key Employees (without $).
System generated, or enter dollar value of assets held by Key Employees in another plan (without $).
System generated, or enter dollar value of assets held by Non-Key Employees in another plan (without $).
System generated, or enter total dollar value of assets held by Key Employees (without $).
System generated or enter total dollar value of assets held by Non-Key Employees (without $).
System generated, or select "Yes" or "No".
NOTE: Determination Date for top heavy minimum allocations for the next Plan Year is the last day of this Plan Year. The "Next Plan Year" Top Heavy ratio and various Top Heavy balances are populated from current Plan Year data. To override system generated numbers, manually enter information in the applicable fields for this Plan Year.
NOTE: For defined contribution plans that are not money purchase pension or target balance plans, current year contributions are included in the top heavy calculations for the current year (used to determine if a top heavy minimum contribution may be required in the next Plan Year) based on contribution date, NOT allocation date. In other words, receivables are not included in the top heavy calculation unless deposited on or before the determination date. Receivables ARE included in top heavy calculations for money purchase pension and target balance plans. Top heavy reports are generated using data from posted transactions. The two date fields used (allocation and contribution) need to be completed correctly to ensure that contributions are included in the top heavy determination for the appropriate Plan Year. The allocation date is either the last day of the Plan Year (for annual profit sharing or matching contributions) or the payroll end date (for deferrals and periodic matching contributions). The contribution date is the date the funds are actually deposited as plan assets. For example, a corporation with a calendar year fiscal year and calendar year Plan Year could delay sending employer contributions to the custodian/trustee until the extended due date of the corporate tax return (September 15th).
System generated, or enter percent of assets held by Key Employees (without % sign).
System generated, or enter dollar value of assets held by Key Employees (without $).
System generated, or enter dollar value of assets held by Non-Key Employees (without $).
System generated, or enter dollar value of assets held by Key Employees in another plan (without $).
System generated, or enter dollar value of assets held by Non-Key Employees in another plan (without $).
System generated, or enter total dollar value of assets held by Key Employees (without $).
generated or enter total dollar value of assets held by Non-Key Employees (without $).