Discretionary Contributions. Discretionary Contributions may be made for each Plan Year in an amount determined by the Employer. Discretionary Contributions and Forfeitures, if applicable, shall be allocated for the Plan Year. The amount allocated shall be equal to the amount determined in (a), (b), (c), (d), or (e) below. (Select (a), (b), (c), (d), or (e). Select (f), (g), or (h), if applicable.) NOTE: Additional selections to this Item may be made in Item G of the Additional Selections and Minor Modifications Addendum if (i) is selected below. a) x COMPENSATION FORMULA. PROVIDE TOP-HEAVY MINIMUM CONTRIBUTION. Discretionary Contributions shall be allocated to provide the top-heavy minimum contribution under Plan Section 11.04, unless otherwise specified in (f) below. In years in which the Plan is a Top-heavy Plan, as defined in Plan Section 11.02, and the minimum contribution under Plan Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, the allocation shall be made to each person meeting the requirements in Item R and each person entitled to a minimum contribution under Plan Section 11.04. In all other years, the allocation shall be made for each person meeting the requirements in Item R. The amount allocated shall be equal to the Discretionary Contributions multiplied by the ratio of such person’s Annual Compensation to the total Annual Compensation for all such persons. The allocation for any person who does not meet the requirements in Item R shall be limited to the amount necessary to fund the minimum contribution. In years in which the Plan is a Top-heavy Plan, the minimum contribution under Plan Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, and the allocation described above (or any subsequent allocation described below) would provide an allocation for any person less than the minimum contribution required for such person under Plan Section 11.04, such minimum contribution shall first be allocated to all such persons. Then any amount remaining
Appears in 1 contract
Discretionary Contributions. Discretionary Contributions according to a formula, or in an amount, specified by the Plan Sponsor in a Form acceptable to, and subject to rules established by, the Administrator (which may be made for each include Discretionary Contributions in a decimal percentage of such Participant’s Compensation and/or in a flat amount per Participant) with respect to a Plan Year in an amount determined by the Employer. Discretionary Contributions and Forfeitures, if applicable, shall be allocated for Contribution Period that the Plan Year. The amount allocated shall be equal to the amount determined in (a), (b), (c), (d), or (e) below. (Select (a), (b), (c), (d), or (e). Select (f), (g), or (h), if applicable.) NOTE: Additional selections to this Item may be made in Item G of the Additional Selections and Minor Modifications Addendum if Sponsor:
(i) declares in writing to the Administrator and its Participants not later than May 1 following such Plan Year (or such other date that is selected below. aspecified by the Administrator); and
(ii) x COMPENSATION FORMULA. PROVIDE TOPremits to the Administrator by June 15 following such Plan Year (or such other date that is specified by the Administrator and permissible under applicable law and Treasury Regulations); subject to the following and any rules established by the Administrator:
(A) if a person was a Participant in the Plan with respect to such Plan Sponsor at some point during such Plan Year but was not a Participant in the Plan with respect to such Plan Sponsor at the end of such Plan Year, then:
(I) such person will receive a pro-HEAVY MINIMUM CONTRIBUTION. rated portion of any such Discretionary Contribution, based on his or her Compensation received for such Plan Year while he or she was a Participant in the Plan with respect to such Plan Sponsor;
(II) the Administrator will reestablish any necessary Accounts in the Plan for such person to the extent necessary (and such person will again become a Participant in the Plan with respect to such Plan Sponsor if such participation had ended); and
(III) if the Participant (or his or her Beneficiary) previously received a distribution of his or her entire Account Balance under the Plan, the Administrator (presuming such Participant still qualifies for a distribution) will distribute the newly established Account Balance to such Participant as soon as is practicable in the same form as the immediately previous distribution (unless such Participant refuses the further distribution at that time); and
(B) Discretionary Contributions shall be allocated to provide the top-heavy minimum contribution under Plan Section 11.04, unless otherwise specified in (f) below. In years in which the Plan is a Top-heavy Plan, as defined in Plan Section 11.02, and the minimum contribution under Plan Section 11.04 is will not being provided by other contributions to this Plan or another plan of the Employer, the allocation shall be made to each any person meeting or Participant in excess of the requirements limits in Item R Section 6 and each person entitled to a minimum contribution under Plan Section 11.04. In all other years, the allocation shall will not be made for each person meeting the requirements in Item R. The amount allocated shall be equal deemed earned to the extent that they exceed the limits in Section 6 for any Limitation Year. Although Discretionary Contributions multiplied will be determined annually as described above, a Plan Sponsor may elect Discretionary Contributions on its Adoption Agreement on either an annual basis or an open-ended, evergreen basis (subject to discontinuance as elected by the ratio of such person’s Annual Compensation to Plan Sponsor and/or in accordance with rules made by the total Annual Compensation for all such personsAdministrator). The allocation If a Plan Sponsor has elected Discretionary Contributions on its Adoption Agreement but has not satisfied either subsection (d)(i) or (ii) above for any person who does Plan Year Contribution Period and has not meet the requirements in Item R shall previously elected Discretionary Contributions on an open-ended, evergreen basis, then it will be limited to the amount necessary to fund the minimum contribution. In years in which presumed that the Plan is Sponsor has elected a Top-heavy Plan, the minimum contribution under 0% Discretionary Contribution for that Plan Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, and the allocation described above (or any subsequent allocation described below) would provide an allocation for any person less than the minimum contribution required for such person under Plan Section 11.04, such minimum contribution shall first be allocated to all such persons. Then any amount remainingYear Contribution Period.
Appears in 1 contract
Samples: Horizon 401(k) Plan
Discretionary Contributions. Discretionary Contributions according to a formula, or in an amount, specified by the Plan Sponsor in a Form acceptable to, and subject to rules established by, the Administrator (which may be made for each include Discretionary Contributions in a decimal percentage of such Participant’s Compensation and/or in a flat amount per Participant) with respect to a Plan Year in an amount determined by the Employer. Discretionary Contributions and Forfeitures, if applicable, shall be allocated for Contribution Period that the Plan Year. The amount allocated shall be equal to the amount determined in (a), (b), (c), (d), or (e) below. (Select (a), (b), (c), (d), or (e). Select (f), (g), or (h), if applicable.) NOTE: Additional selections to this Item may be made in Item G of the Additional Selections and Minor Modifications Addendum if Sponsor:
(i) declares in writing to the Administrator and its Participants not later than May 1 following such Plan Year (or such other date that is selected below. aspecified by the Administrator); and
(ii) x COMPENSATION FORMULA. PROVIDE TOPremits to the Administrator by June 15 following such Plan Year (or such other date that is specified by the Administrator and permissible under applicable law and Regulations); subject to the following and any rules established by the Administrator:
(A) if a person was a Participant in the Plan with respect to such Plan Sponsor at some point during such Plan Year but was not a Participant in the Plan with respect to such Plan Sponsor at the end of such Plan Year, then:
(I) such person will receive a pro-HEAVY MINIMUM CONTRIBUTION. rated portion of any such Discretionary Contribution, based on his or her Compensation received for such Plan Year while he or she was a Participant in the Plan with respect to such Plan Sponsor;
(II) the Administrator will reestablish any necessary Accounts in the Plan for such person to the extent necessary (and such person will again become a Participant in the Plan with respect to such Plan Sponsor if such participation had ended); and
(III) if the Participant (or his or her Beneficiary) previously received a distribution of his or her entire Account Balance under the Plan, the Administrator (presuming such Participant still qualifies for a distribution) will distribute the newly established Account Balance to such Participant as soon as is practicable in the same form as the immediately previous distribution (unless such Participant refuses the further distribution at that time); and
(B) Discretionary Contributions shall be allocated to provide the top-heavy minimum contribution under Plan Section 11.04, unless otherwise specified in (f) below. In years in which the Plan is a Top-heavy Plan, as defined in Plan Section 11.02, and the minimum contribution under Plan Section 11.04 is will not being provided by other contributions to this Plan or another plan of the Employer, the allocation shall be made to each any person meeting or Participant in excess of the requirements limits in Item R Section 6 and each person entitled to a minimum contribution under Plan Section 11.04. In all other years, the allocation shall will not be made for each person meeting the requirements in Item R. The amount allocated shall be equal deemed earned to the extent that they exceed the limits in Section 6 for any Limitation Year. Although Discretionary Contributions multiplied will be determined annually as described above, a Plan Sponsor may elect Discretionary Contributions on its Adoption Agreement on either an annual basis or an open-ended, evergreen basis (subject to discontinuance as elected by the ratio of such person’s Annual Compensation to Plan Sponsor and/or in accordance with rules made by the total Annual Compensation for all such personsAdministrator). The allocation If a Plan Sponsor has elected Discretionary Contributions on its Adoption Agreement but has not satisfied either subsection (d)(i) or (ii) above for any person who does Plan Year Contribution Period and has not meet the requirements in Item R shall previously elected Discretionary Contributions on an open-ended, evergreen basis, then it will be limited to the amount necessary to fund the minimum contribution. In years in which presumed that the Plan is Sponsor has elected a Top-heavy Plan, the minimum contribution under 0% Discretionary Contribution for that Plan Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, and the allocation described above (or any subsequent allocation described below) would provide an allocation for any person less than the minimum contribution required for such person under Plan Section 11.04, such minimum contribution shall first be allocated to all such persons. Then any amount remainingYear Contribution Period.
Appears in 1 contract
Samples: 401(k) Plan
Discretionary Contributions. The Discretionary Contributions may be made Contributions, if any, for each Plan Year shall be in an such form (i.e. cash, or Company Stock) and such amount determined as the Board, in its sole discretion, may direct; provided however, that the Discretionary Contributions shall not be less than the amount equal to the product of:
(a) the amount required to fully amortize any outstanding Exempt Loan; minus (b) the amount already contributed by the Employer as Matching Contributions pursuant to SECTION 4.02. However, in no event will the total of Matching Contributions and Discretionary Contributions exceed the maximum amount deductible from the Employer's income for such taxable year under Sections 404(a)(3)(A) and 404(a)(9) of the Code, including any amounts carried over under Section 404 of the Code. Discretionary Contributions and Forfeitures, if applicable, shall be allocated for the Plan Year. The amount allocated shall be equal to the amount determined in (a), (b), (c), (d), or (e) below. (Select (a), (b), (c), (d), or (e). Select (f), (g), or (h), if applicable.) NOTEshall: Additional selections to this Item may be made in Item G of the Additional Selections and Minor Modifications Addendum if (i) is selected below. aif made in cash, be allocated to the Other Investments Accounts of Participants' Employer Contribution Account; and (ii) x COMPENSATION FORMULA. PROVIDE TOP-HEAVY MINIMUM CONTRIBUTIONif made in Company Stock, be allocated to the Company Stock Accounts of Participants' Employer Contribution Accounts. Discretionary Contributions shall be allocated as of the last day of the Plan Year among all Participants who are employed by an Employer on the last day of such Plan Year. If a Participant who is an Eligible Employee ceases to provide be an Eligible Employee or is transferred from an Employer to a non-adopting Affiliated Company, he shall not participate in the top-heavy minimum contribution under allocation of Discretionary Contributions for the Plan Section 11.04, unless otherwise specified in (f) below. In years Year in which the Plan is a Top-heavy Plan, as defined in Plan Section 11.02, and the minimum contribution under Plan Section 11.04 is not being provided by other contributions cessation or transfer took place. If an Employee transfers to this Plan or another plan of the an adopting Employer, the such Employee shall become an Eligible Employee and eligible to receive an allocation shall be made to each person meeting the requirements in Item R and each person entitled to a minimum contribution under Plan Section 11.04. In all other years, the allocation shall be made for each person meeting the requirements in Item R. The amount allocated shall be equal pursuant to the Discretionary Contributions multiplied by the ratio terms of such person’s Annual Compensation to the total Annual Compensation for all such persons. The allocation for any person who does not meet the requirements in Item R shall be limited to the amount necessary to fund the minimum contribution. In years in which the Plan is a Top-heavy Plan, the minimum contribution under Plan Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, and the allocation described above (or any subsequent allocation described below) would provide an allocation for any person less than the minimum contribution required for such person under Plan Section 11.04, such minimum contribution shall first be allocated to all such persons. Then any amount remainingSECTION 4.12.
Appears in 1 contract
Samples: Employee Stock Ownership Plan (Club Corp International)
Discretionary Contributions. Discretionary Contributions may be made Contributions, if any, for each Plan Year shall be in an such form (i.e. cash, or Company Stock) and such amount determined as the Board, in its sole discretion, may direct; provided however, that the Discretionary Contributions shall not be less than the amount equal to the product of: (a) the amount required to fully amortize any outstanding Exempt Loan; minus (b) the amount already contributed by the Employer as Matching Contributions pursuant to Section 4.02. However, in no event will the total of Matching Contributions and Discretionary Contributions exceed the maximum amount deductible from the Employer’s income for such taxable year under Sections 404(a)(3)(A) and 404(a)(9) of the Code, including any amounts carried over under Section 404 of the Code. Discretionary Contributions and Forfeitures, if applicable, shall be allocated for the Plan Year. The amount allocated shall be equal to the amount determined in (a), (b), (c), (d), or (e) below. (Select (a), (b), (c), (d), or (e). Select (f), (g), or (h), if applicable.) NOTEshall: Additional selections to this Item may be made in Item G of the Additional Selections and Minor Modifications Addendum if (i) is selected below. aif made in cash, be allocated to the Other Investments Accounts of Participants’ Employer Contribution Accounts; and (ii) x COMPENSATION FORMULA. PROVIDE TOP-HEAVY MINIMUM CONTRIBUTIONif made in Company Stock, be allocated to the Company Stock Accounts of Participants’ Employer Contribution Accounts. Discretionary Contributions shall be allocated as of the last day of the Plan Year among all Participants who are employed by an Employer on the last day of such Plan Year. If a Participant who is an Eligible Employee ceases to provide be an Eligible Employee or is transferred from an Employer to a non-adopting Affiliated Company, he shall not participate in the top-heavy minimum contribution under allocation of Discretionary Contributions for the Plan Section 11.04, unless otherwise specified in (f) below. In years Year in which the Plan is a Top-heavy Plan, as defined in Plan Section 11.02, and the minimum contribution under Plan Section 11.04 is not being provided by other contributions cessation or transfer took place. If an Employee transfers to this Plan or another plan of the an adopting Employer, the such Employee shall become an Eligible Employee and eligible to receive an allocation shall be made to each person meeting the requirements in Item R and each person entitled to a minimum contribution under Plan Section 11.04. In all other years, the allocation shall be made for each person meeting the requirements in Item R. The amount allocated shall be equal pursuant to the Discretionary Contributions multiplied by the ratio terms of such person’s Annual Compensation to the total Annual Compensation for all such persons. The allocation for any person who does not meet the requirements in Item R shall be limited to the amount necessary to fund the minimum contribution. In years in which the Plan is a Top-heavy Plan, the minimum contribution under Plan this Section 11.04 is not being provided by other contributions to this Plan or another plan of the Employer, and the allocation described above (or any subsequent allocation described below) would provide an allocation for any person less than the minimum contribution required for such person under Plan Section 11.04, such minimum contribution shall first be allocated to all such persons. Then any amount remaining4.12.
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