ACP Test Safe Harbor. The Employer maintaining a 401(k) Plan may elect in the Adoption Agreement to make additional Matching Contributions in addition to the Safe Harbor Matching Contributions made to the Plan. These additional Matching Contributions may be subject to the ACP Test Safe Harbor requirements instead of testing the contributions under paragraph 11.2. If the Employer elects using the current year testing method to test the additional Matching Contributions for nondiscrimination as set forth in paragraph 11.2, the ACP Test Safe Harbor will be satisfied if the following conditions are met:
(a) no Matching Contribution may be made with respect to a Participant’s Elective Deferrals and/or Voluntary After-tax Contributions which exceed 6% of Compensation;
(b) the amount of any discretionary Matching Contribution made after the 1999 Plan Year may not exceed 4% of the Participant’s Compensation;
(c) the rate of Matching Contributions made to the Plan may not increase as the rate of Elective Deferrals increase;
(d) no Highly Compensated Employee may receive a greater rate of match than a Non-Highly Compensated Employee; and
(e) the Employer must elect in the Adoption Agreement the vesting schedule distribution restrictions and eligibility to receive an allocation of these additional Matching Contributions.
ACP Test Safe Harbor. (Choose (1), (2) or (3)):
(1) [ ] Not applicable. The Plan does not permit Matching Contributions or Employee Contributions.
(2) [X] ACP test applies. (Choose a. or b.):
a. [ ] Current year testing method.
b. [X] Prior year testing method.
(3) [ ] Safe Harbor. The Plan does not apply the ACP test.
ACP Test Safe Harbor. The Employer maintaining a 401(k) Plan may elect in the Adoption Agreement to make additional Matching Contributions in addition to the Safe Harbor Matching Contributions made to the Plan. These additional Matching Contributions will be subject to the ACP Test Safe Harbor requirements instead of testing the contributions under paragraph 11.4. The ACP Test Safe Harbor will be satisfied if the following conditions are met:
(a) no Matching Contribution may be made with respect to a Participant’s Elective Deferrals or Xxxx Elective Deferrals and/or Voluntary After-tax Contributions which exceed 6% of Compensation;
(b) the amount of any discretionary Matching Contribution made after the 1999 Plan Year shall not exceed 4% of the Participant’s Compensation;
(c) the rate of Matching Contributions made to the Plan may not increase as the rate of Elective Deferrals or Xxxx Elective Deferrals increase;
(d) no Highly Compensated Employee may receive a greater rate of match than a Non-Highly Compensated Employee;
(e) Matching Contributions used in the ACP Test Safe Harbor will be vested as indicated in the Adoption Agreement, but, in any event, such contributions shall be fully vested at death, attainment of Normal Retirement or Early Retirement, if applicable, upon the complete or partial termination of the Plan, or upon the complete discontinuance of Employer contributions. Forfeitures of nonvested ACP Test Safe Harbor Matching Contributions will be used to reduce the Employer’s contribution of such ACP Test Safe Harbor Matching Contributions; and
(f) Matching Contributions used in the ACP Test Safe Harbor will be vested accordance with a vesting schedule that complies with Code Section 411(a)(12) as elected in the Adoption Agreement. For Plan Years beginning before 2002, Matching Contributions could be vested according to any vesting schedule that satisfied Section 411(a)(2) [Code Section 416(b), if the Plan was top-heavy]. The Participant’s accrued benefit derived from ACP Test Safe Harbor Contributions is nonforfeitable and may not be distributed earlier than severance from employment (separation from Service for Plan Years beginning before 2002), death, Disability, an event described in Code Section 401(k)(10), or in the case of a profit-sharing plan, the attainment of age 59 1/2. In addition, such contributions must satisfy the ACP Test Safe Harbor without regard to permitted disparity under Code Section 401(l).
ACP Test Safe Harbor. (a) ACP Test Safe Harbor Matching Contributions
(1) In addition to the ADP Test Safe Harbor Contributions described in Section 16.03(a)(1) of this Article, the Employer will make the ACP Test Safe Harbor Matching Contributions, if any, indicated in the Adoption Agreement for the Plan Year.
(2) ACP Test Safe Harbor Matching Contributions will be vested as indicated in the Adoption Agreement, but, in any event, such contributions shall be fully vested at normal retirement age, upon the complete or partial termination of the Plan, or upon the complete discontinuance of Employer Contributions. Forfeitures of nonvested ACP Test Safe Harbor Matching Contributions will be used to reduce the Employer's Contribution.
ACP Test Safe Harbor. The Employer in its Adoption Agreement will elect whether (i) to apply the amount limitations under this Section 3.05(G) in order to comply with the ACP test safe harbor as described in this Section 3.05(G); or (ii) the Plan Administrator must test all Matching Contributions unless the Plan's only Matching Contribution is a Basic Matching Contribution. If the Employer elects to test, the Employer will elect whether to perform the ACP test using Current Year or Prior Year Testing. Prior to the Final 401(k) Regulations Effective Date, the Employer was limited to Current Year Testing under Notice 98-52.
ACP Test Safe Harbor. The Employer maintaining a 401(k) Plan may elect in the Adoption Agreement to make additional Matching Contributions in addition to the Safe Harbor Matching Contributions made to the Plan. These additional Matching Contributions may be subject to the ACP Test Safe Harbor requirements instead of testing the contributions under paragraph 11.2. If the Employer elects using the current year testing method to test the additional Matching Contributions for nondiscrimination as set forth in paragraph 11.2, the ACP Test Safe Harbor will be satisfied if the following conditions are met:
ACP Test Safe Harbor. The Employer maintaining a 401(k) Plan may elect in the Adoption Agreement to make additional Matching Contributions in addition to the Safe Harbor Matching Contributions made to the Plan. These additional Matching Contributions will be subject to the ACP Test Safe Harbor requirements instead of testing the contributions under paragraph 11.4. The ACP Test Safe Harbor will be satisfied if the following conditions are met:
(a) no Matching Contribution may be made with respect to a Participant’s Elective Deferrals or Xxxx Elective Deferrals and/or Voluntary After-tax Contributions which exceed 6% of Compensation; the amount of any discretionary Matching Contribution made after the 1999 Plan Year shall not exceed 4% of the Participant’s Compensation;
ACP Test Safe Harbor. Unless otherwise selected below, if this Plan uses the ADP Test Safe Harbor provisions, then the provisions of Amendment Section 9.2(a) apply and all matching contributions under the Plan will be applied without regard to any allocation conditions except as provided in that Section.
a. [ ] The provisions of Amendment Section 9.2(b) apply. The allocation conditions applicable to matching contributions under the Plan continue to apply (if selected, the Plan is not an ACP Test Safe Harbor Plan).
b. [ ] The provisions of Amendment Section 9.2(c) apply. All matching contributions under the Plan will be applied without regard to any allocation conditions as of the effective date of this Amendment.
ACP Test Safe Harbor. The Employer in its Adoption Agreement will elect whether (i) to apply the amount limitations under this Section 3.05(G) in order to comply with the ACP test safe harbor as described in this Section 3.05(G); or (ii) the Plan Administrator must test all Matching Contributions under the ACP test unless the Plan's only Matching Contribution is a Basic Matching Contribution or a QACA Basic Matching Contribution. If the Employer elects to test, the Employer also will elect whether to perform the ACP test using Current Year or Prior Year Testing.
ACP Test Safe Harbor. The ACP Test Safe Harbor Requirements are met if:
(A) Matching Contributions are not made with respect to Elective Deferral Contributions or Employee After-Tax Contributions that in the aggregate exceed 6 percent of the Eligible Participant’s Plan Compensation,
(B) The rate of Matching Contributions does not increase as the rate of Elective Deferral Contributions (Pre-Tax Contributions and Xxxx Contributions) or Employee After-Tax Contributions increase,
(C) At the rate of Elective Deferral Contributions (Pre-Tax Contributions and Xxxx Contributions) or Employee After-Tax Contributions, the rate of Matching Contributions that would apply with respect to any Highly Compensated Employee who is an Eligible Participant is no greater than the rate of Matching Contributions that would apply to a Nonhighly Compensated Employee who is an Eligible Participant and who has the same rate of Elective Deferral Contributions (Pre-Tax Contributions and Xxxx Contributions) or Employee After-Tax Contributions; and
(D) Matching Contributions that are discretionary do not exceed 4% of the Employee’s Plan Compensation.
