Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted both a standardized profit sharing plan and a standardized money purchase pension plan using this Basic Plan Document.
Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted both a standardized profit sharing plan and a standardized money purchase pension plan using this Basic Plan Document.
1. Minimum Allocation - When the paired plans are top-heavy, the top-heavy requirements set forth in Section 3.01(E)
(1) of the Plan shall apply.
a. Same eligibility requirements. In satisfying the top-heavy minimum allocation requirements set forth in Section 3.01(E) of the Plan, if the Employees benefiting under each of the paired plans are identical, the top-heavy minimum allocation shall be made to the money purchase pension plan.
Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted either (x) a combination of two defined contribution standardized prototype plans of the Prototype Sponsor or (y) a combination of one or two defined contribution standardized prototype plans of the Prototype Sponsor and one defined benefit standardized prototype plan of the Prototype Sponsor. The following rules apply for paired plans:
1. Minimum Top-Heavy Allocation - When each of the paired plans are Top-Heavy, the Employer is required to provide a minimum contribution equal to 3 % of Compensation for each non-Key Employee in each plan who is entitled to a minimum contribution. That minimum contribution will be made under only one defined contribution plan. If an Employee is a participant in only one defined contribution plan, the minimum contribution on his or her behalf is made to that plan. If the Employee is a participant in two plans, the minimum contribution on his or her behalf is made to the money purchase pension plan.
2. Only One Plan can be Integrated - If the Employer maintains paired plans, only one of the plans may utilize the disparity in contributions or benefits permitted under Section 401(1) of the Code. If the Adoption Agreements for more than one of the plans provides for integration, permitted disparity is allowed only (i) under another of the paired plans which is a defined contribution plan or (ii) under this Plan if the only other plan is a defined benefit plan.
Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted both a standardized profit sharing plan and a standardized money purchase pension plan using this Basic Plan Document.
1. Minimum Allocation - The mandatory minimum allocation provision of Section 3.01(E) shall not apply to any Participant if the Employer maintains paired plans. Rather, for each Plan Year, the Employer will provide a minimum contribution equal to 3% of Compensation for each non-Key Employee who is entitled to a minimum contribution. Such minimum contribution will only be made to one of the Plans. If an Employee is a Participant in only one of the Plans, the minimum contribution shall be made to that Plan. If the Employee is a Participant in both Plans, the minimum contribution shall be made to the money purchase plan.
Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted both a standardized profit sharing plan and a standardized money purchase pension plan using this Basic Plan Document.
1. Minimum Allocation -- When the paired plans are top-heavy, the top-heavy requirements set forth in Section 3.01(E)
(1) of the Plan shall apply.
a. Same eligibility requirements. In satisfying the top-heavy minimum allocation requirements set forth in Section 3.01(E) of the Plan, if the Employees benefiting under each of the paired plans are identical, the top-heavy minimum allocation shall be made to the money purchase pension plan.
b. Different eligibility requirements. In satisfying the top heavy minimum allocation requirements set forth in Section 3.01(E) of the Plan, if the Employees benefiting under each of the paired plans are not identical, the top-heavy minimum allocation will be made to both of the paired plans. A Participant is treated as benefiting under the Plan for any Plan Year during which the Participant received or is deemed to receive an allocation in accordance with Section 1.410(b)-3(a).
Special Requirements for Paired Plans. The Employer maintains paired plans if the Employer has adopted either a combination of two defined contribution standardized plans or a combination of one or two defined contribution standardized plans and one defined benefit standardized plan.
1. Paired Plans - Paired plans may be maintained by the Employer only under one of the following circumstances:
(a) When the paired plans are Top-Heavy, the Top-Heavy minimum contribution is provided in all paired plans; or
(b) Each Paired plan benefits the same Participants.
2. Minimum Allocation Under 3.01(F)(1)(b) - In the case of Section 3.01(F)(1)(b) above, when the paired plans are Top- Heavy, the Employer is required to provide a minimum contribution equal to 3% of Compensation for each non-Key Employee who is entitled to a minimum contribution. That minimum contribution will only be made under one of the plans. If an Employee is a Participant in only one of the plans, the mini- mum contribution is made to that plan. If the Employee is a Participant in both plans, the minimum contribution is made to the money purchase pension plan.
3. Only One Plan can be Integrated - If the Employer maintains paired plans, only one of the plans may utilize the disparity in contributions or benefits permitted under Section 401(1) of the Code. If both Adoption Agreements provide for integration, permitted disparity is allowed only (i) under the other plan if it is a defined contribution plan or (ii) under this Plan if the other plan is a defined benefit plan.
