Common use of Salary Reduction Agreement Clause in Contracts

Salary Reduction Agreement. An Eligible Employee may elect to have Elective Deferrals made under the Plan through either single-sum or continuing contributions, or both, pursuant to a Salary Reduction Agreement. By entering into a Salary Reduction Agreement, the Employee agrees to a reduction in his or her Compensation in the amount designated and the Employer agrees to contribute and allocate an equivalent amount to the Participant’s SIMPLE IRA under the Plan. An Employee who is an Eligible Employee for a particular calendar year must be permitted to make or modify a Salary Reduction Agreement during the 60-day Election Period for the calendar year. Such a Salary Reduction Agreement, or modification thereof, shall be effective as soon as practical after receipt by the Employer (or, if later, the date specified by the Eligible Employee in the Salary Reduction Agreement) but not earlier than the first pay period beginning in the calendar year. In the case of an Employee who becomes an Eligible Employee other than at the beginning of the calendar year for any of the reasons stated in Section 2.8 of the Plan, the Eligible Employee must be permitted to make or modify a Salary Reduction Agreement during the 60-day Election Period that begins on the day the plan notice is provided to the Eligible Employee and that includes the day the employee becomes eligible or the day before. Such a Salary Reduction Agreement will become effective as soon as practical after receipt by the Employer (or, if later, the date specified by the Eligible Employee in the Salary Reduction Agreement). Any Salary Reduction Agreement may be modified prospectively during the Election Period. An Employee may terminate a Salary Reduction Agreement at any time during the Plan Year. Such termination shall be in writing and shall be effective as soon as practical after receipt of a termination request by the Employer or, if later, the date specified by the Employee in the termination request. An Employee who terminates a Salary Reduction Agreement during the Plan Year may not resume Elective Deferrals until such time as is stated in Item 3A of the Adoption Agreement following such termination. An Employer may accept modifications to a Salary Reduction Agreement in accordance with the provisions outlined in Item 3B of the Adoption Agreement.

Salary Reduction Agreement. An Eligible Employee Subject to the provisions stated herein, a Participant may elect to have Elective Deferrals made under the Plan through either single-sum or continuing contributions, or both, pursuant to enter into a written Salary Reduction AgreementAgreement with the Company. By entering into The terms of such Agreement shall provide that the Participant agrees to accept a reduction in Compensation from the Company or appropriate Employer based on multiples of one percent (1%) of his Compensation per payroll period in an amount which is at least two percent (2%) and does not exceed fifteen percent (15%). This reduction in compensation shall not exceed the amount which may from time-to-time be prescribed in accordance with regulations issued by the Secretary of the Treasury or his delegate. In consideration of such Salary Reduction Agreement, the Employee agrees to Company or appropriate Employer shall make a reduction in his or her Compensation in the amount designated and the Employer agrees to contribute and allocate an equivalent amount 401(k) Contribution to the Participant’s SIMPLE IRA under 's 401(k) Account on behalf of such Participant for such Plan Year in an amount equal to the Plantotal amount by which the Participant's Compensation was reduced during the Plan Year. An Employee who is an Eligible Employee for a particular calendar year must be permitted to make or modify a The Salary Reduction Agreement during and other such forms as may be required hereunder shall be filed at the 60-day Election Period time and in the manner specified by the Committee. The Committee shall be the agent of the Company or appropriate Employer for the calendar year. Such a purpose of executing, amending or revoking Salary Reduction AgreementAgreements, and for giving or receiving notices as provided herein. All Salary Reduction Agreements shall be governed by the following: (a) A Salary Reduction Agreement shall apply to each payroll period during which it is on file with the Committee until terminated, amended, or modification revoked as provided herein. Each Salary Reduction Agreement shall be deemed to be renewed on each January 1 unless the Company, appropriate Employer or Participant shall give not less than thirty (30) days advance written notice of termination. (b) Salary Reduction Agreements, or any changes thereto, revocations or reinstatements thereof, shall be effective as soon as practical after receipt of the first day of any month, provided the Participant submits an appropriate authorization and notice to the Company or appropriate Employer prior to such month, on a form or in the manner prescribed by the Employer (or, if later, Plan Administrator. The Plan Administrator may establish additional rules regarding the date specified by the Eligible Employee timing and frequency of a change in the amount of salary reductions, provided such policy is applied uniformly to all Participants. (c) The Company may amend or revoke its Salary Reduction Agreement with any Participant at any time if the Company determines that such revocation or amendment is necessary to insure that a Participant's Annual Additions for any Plan Year will not exceed the limitations of Article V or to insure that the discrimination tests are met for such Plan Year, provided that no such amendment shall increase the salary reduction percentage specified in a Participant's Salary Reduction Agreement. Any such amendment, revocation or reinstatement shall be done in a manner which shall not discriminate in favor of officers, shareholders, directors or other highly compensated Participants. (d) but A Participant who suspends 401(k) Contributions on account of a hardship withdrawal pursuant to Section 4.7 shall not earlier than be eligible to resume 401(k) Contributions until the first pay period beginning time specified in Section 4.7(b)(iii). (e) The Committee may make such reasonable rules as it shall deem desirable to reduce undue clerical and administrative time and expense in connection with filing or amending Salary Reduction Agreements. (f) The Plan is to be interpreted and applied in a manner that satisfies the calendar yearrequirements of Section 401(k) of the Code, including Section 401(k)(3) thereof, and the regulations promulgated thereunder, as amended from time to time, and all provisions of the Plan shall be construed and applied in accordance with such requirements. In the case event the Plan shall fail in the Committee's reasonable judgment to meet the nondiscrimination tests for 401(k) Contributions of an Employee who becomes an Eligible Employee other than at the beginning Section 401(k) of the calendar year Code for any of the reasons stated in Section 2.8 of the PlanPlan Year, the Eligible Employee must be permitted to make or modify a Salary Reduction Agreement Committee may, during the 60-day Election Period that begins on two and a half (2 1/2) month period following the day the plan notice is provided to the Eligible Employee and that includes the day the employee becomes eligible or the day before. Such a Salary Reduction Agreement will become effective as soon as practical after receipt by the Employer (or, if later, the date specified by the Eligible Employee in the Salary Reduction Agreement). Any Salary Reduction Agreement may be modified prospectively during the Election Period. An Employee may terminate a Salary Reduction Agreement at any time during close of the Plan Year. Such termination shall be in writing and shall be effective as soon as practical after receipt , return all or any portion of a termination request by the Employer or, if later, the date specified by the Employee in the termination request. An Employee who terminates a Salary Reduction Agreement during such salary reduction amounts (including income allocable thereto for the Plan Year may not resume Elective Deferrals until such time as is stated in Item 3A of Year) to the Adoption Agreement following such termination. An Employer may accept modifications to a Salary Reduction Agreement Highly Compensated Employees, in accordance with the nondiscrimination test and corrective provisions outlined of Section 401(k) and the regulations promulgated thereunder, as amended from time to time, including but not limited to Treasury Regulations Sections 1.401(k)-1 (g)(1)(ii), 1.401(k)-1(f)(2), 1.401(k)-1 (f)(5)(i) and 1.401(k)-1-(f)(5)(ii); provided, however, that to the extent not inconsistent with the foregoing, any such excess contributions shall be distributed first from 401(k) Contributions in Item 3B excess of the Adoption Agreement.6% of the