Common use of Factors Considered Clause in Contracts

Factors Considered. Factors include: (1) the steps taken by the Plan Sponsor to ensure that the plan had no failures; (2) the steps taken to identify failures that may have occurred; (3) the extent to which correction had progressed before the examination was initiated, including full correction; (4) the number and type of employees affected by the failure; (5) the number of nonhighly compensated employees who would be adversely affected if the plan were not treated as qualified or as satisfying the requirements of § 403(b), § 408(k) or § 408(p); (6) whether the failure is a failure to satisfy the requirements of § 401(a)(4), § 401(a)(26), or § 410(b), either directly or through § 403(b)(12); (7) whether the failure is solely an Employer Eligibility Failure; (8) the period over which the failure(s) occurred (for example, the time that has elapsed since the end of the applicable remedial amendment period under § 401(b) for a Plan Document Failure); and (9) the reason for the failure(s) (for example, data errors such as errors in transcription of data, the transposition of numbers, or minor arithmetic errors). Factors relating only to Qualified Plans also include: (1) whether the plan is the subject of a Favorable Letter; and (2) whether the failure(s) were discovered during the determination letter process. If one of the failures discovered during an Employee Plans examination includes the failure to amend the plan timely for relevant legislation, it is expected that the sanction will be greater than the applicable fee described in section 14.04. An additional factor taken into account with respect to a participant loan that did not comply with the requirements of § 72(p)(2) is the extent to which the failure is a result solely of action (or inaction) of the employer or its agents (or to the extent to which the failure is a result of the employee’s or beneficiary’s actions or inaction).

Factors Considered. Factors include: (1) the steps taken by the Plan Sponsor to ensure that the plan had no failures; , (2) the steps taken to identify failures that may have occurred; , (3) the extent to which correction had progressed before the examination was initiated, including full correction; , (4) the amount of the fee the Plan Sponsor would have paid under section 12 for correcting the failures, (5) the number and type of employees affected by the failure; , (56) the number of nonhighly compensated employees who would be adversely affected if the plan were not treated as qualified or as satisfying the requirements of § □ 403(b) or □ 408(k), § 408(k) or § 408(p); (67) whether the failure is a failure to satisfy the requirements of § □ 401(a)(4), § □ 401(a)(26), or § □ 410(b), either directly or through § □ 403(b)(12); (7) whether the failure is solely an Employer Eligibility Failure; , (8) the period over which the failure(s) failure occurred (for example, the time that has elapsed since the end of the applicable remedial amendment period under § □ 401(b) for a Plan Document Failure); , and (9) the reason for the failure(s) failure (for example, data errors such as errors in transcription of data, the transposition of numbers, or minor arithmetic errors). Factors relating only to Qualified Plans also include: (1) whether the plan is the subject of a Favorable Letter; and , (2) whether the failure(splan has both Operational and other failures, and (3) were discovered during the determination letter process. If one of the failures discovered during an Employee Plans examination includes the failure extent to amend which the plan timely for relevant legislationhas accepted Transferred Assets, it is expected that and the sanction will be greater than extent to which failures relate to Transferred Assets and occurred before the applicable fee described in section 14.04transfer. An additional factor taken into account with respect Additional factors relating only to 403(b) Plans include: (1) whether the plan has a participant loan that did not comply with the requirements combination of § 72(p)(2Operational, Demographic, or Employer Eligibility Failures, (2) is the extent to which the failure is a result solely of action relates to Excess Amounts, and (or inaction3) of the employer or its agents (or to the extent to which whether the failure is a result of the employee’s or beneficiary’s actions or inaction)solely an Employer Eligibility Failure.

Factors Considered. Factors include: (1) the steps taken by the Plan Sponsor to ensure that the plan had no failures; , (2) the steps taken to identify failures that may have occurred; , (3) the extent to which correction had progressed before the examination was initiated, including full correction; , (4) theamount of the fee the Plan Sponsor would have paid under section 12 for correcting the failures, (5) the number and type of employees affected by the failure; , (56)(5) the number of nonhighly compensated employees who would be adversely affected if the plan were not treated as qualified or as satisfying the requirements of § 403(b) or § 408(k), (7)§ 403(b), § 408(k) or § 408(p); , (6) whether the failure is a failure to satisfy the requirements of § 401(a)(4), § 401(a)(26), or § 410(b), either directly or through § 403(b)(12); , (78)(7) whether the failure is solely an Employer Eligibility Failure; (8) the period over which the failure(s) occurred (for example, the time that has elapsed since the end of the applicable remedial amendment period under § 401(b) for a Plan Document Failure); , and (99)(8) the reason for the failure(s) (for example, data errors such as errors in transcription of data, the transposition of numbers, or minor arithmetic errors). Factors relating only to Qualified Plans also include: (1) whether the plan is the subject of a Favorable Letter; , (2) whether the plan has both Operational and other failures,and (23) the extent to which the plan has accepted Transferred Assets, and the extent to which failuresthe failure(s) relate to Transferred Assets and occurred before the transfer.transfer, and (4) whether the failure(s) were discovered during the determination letter process. If one of the failures discovered during an Employee Additional factors relating only to 403(b) Plans examination includes the failure to amend include: (1) whether the plan timely for relevant legislationhas a combination of Operational, it is expected that the sanction will be greater than the applicable fee described in section 14.04. An additional factor taken into account with respect to a participant loan that did not comply with the requirements of § 72(p)(2Demographic, or Employer Eligibility Failures, (2) is the extent to which the failure is a result solely of action relates to Excess Amounts, and (or inaction3) of the employer or its agents (or to the extent to which whether the failure is a result of the employee’s or beneficiary’s actions or inaction)solely an Employer Eligibility Failure.

Factors Considered. Factors include: (1) the steps taken by the Plan Sponsor to ensure that the plan had no failures; , (2) the steps taken to identify failures that may have occurred; , (3) the extent to which correction had progressed before the examination was initiated, including full correction; , (4) the amount of the fee the Plan Sponsor would have paid under section 12 for correcting the failures, (5) the number and type of employees affected by the failure; , (56) the number of nonhighly compensated employees who would be adversely affected if the plan were not treated as qualified or as satisfying the requirements of § 403(b), § 408(k) or § 408(p408(k); , (67) whether the failure is a failure to satisfy the requirements require- ments of § 401(a)(4), § 401(a)(26), or § 410(b), either directly or through § 403(b)(12); (7) whether the failure is solely an Employer Eligibility Failure; , (8) the period over which the failure(s) failure occurred (for example, the time that has elapsed since the end of the applicable remedial amendment period under § 401(b) for a Plan Document FailureFail- ure); , and (9) the reason for the failure(s) failure (for example, data errors such as errors in transcription of data, the transposition of numbers, or minor arithmetic errors). Factors relating only to Qualified Plans also include: (1) whether the plan is the subject of a Favorable Letter; and , (2) whether the failure(splan has both Operational and other failures, and (3) were discovered during the determination letter process. If one of the failures discovered during an Employee Plans examination includes the failure extent to amend which the plan timely for relevant legislationhas accepted Transferred Assets, it is expected that and the sanction will be greater than extent to which failures relate to Transferred Assets and occurred before the applicable fee described in section 14.04transfer. An additional factor taken into account with respect Additional factors relating only to 403(b) Plans include: (1) whether the plan has a participant loan that did not comply with the requirements combination of § 72(p)(2Opera- tional, Demographic, or Employer Eligi- bility Failures, (2) is the extent to which the failure is a result solely of action relates to Excess Amounts, and (or inaction3) of the employer or its agents (or to the extent to which whether the failure is a result of the employee’s or beneficiary’s actions or inaction)solely an Employer Eligibility Failure.