EX-99.B14(f)
PROTOTYPE 401(k) PROFIT SHARING PLAN ADOPTION AGREEMENT
The undersigned employer(s) - **SAVE UNDER client #.adp IN INSTITUION
DIRECTORY**, hereinafter referred to as the "Employer", hereby adopts the
_____________________ PROTOTYPE STANDARD FLEX 401(k) PROFIT SHARING PLAN AND
TRUST. The name of the Plan shall be _______________.
1. EMPLOYER TAX IDENTIFICATION NUMBER: ________________________________.
2. The EFFECTIVE DATE of the initial adoption of the Plan is _______________
(usually the first day of the Plan Year).
3. If this is an amendment of an existing plan, the EFFECTIVE DATE of the
amendment is _____ (usually the first day of the Plan Year).
4. The LAST DAY of the PLAN YEAR, _________________ shall be the ANNIVERSARY
DATE.
5. The ENTRY DATE(S) of the Plan:
5.1 / / Shall be the first day of each PLAN YEAR and the first day
of each quarter thereafter.
5.2 / / Shall be the first day of each PLAN YEAR and the first day
of the seventh month of each Plan Year.
5.3 / / Other ___________________________________________
6. ELIGIBILITY REQUIREMENTS
6.1 CASH OR DEFERRED ARRANGEMENT: Each Employee except the following
shall be eligible to participate in the 401(k) Cash or Deferred
Arrangement, any Matching Contributions, any Qualified Matching
Contributions or any Qualified Non-elective Contributions which the
Employer may make to the Plan in accordance with Section 5 above.
(Eligibility for participation in any Discretionary Profit Sharing
Contributions shall be determined in Section 6.2 below).
a. / / Employees who have not attained the age of _____ (cannot
exceed 21).
b. / / Employees who have not completed Year of Service (cannot
exceed 1 year). If the Year of Service selected is or includes
a fractional year, an Employee will not be required to complete
any specified Hours of Service to receive credit for such
fractional year.
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c. / / Employees included in a unit of Employees covered by a
collective bargaining agreement between the Employer and Employee
Representatives, if retirement benefits were the subject of good
faith bargaining SHALL NOT be eligible to participate. For this
purpose, the term "Employee Representatives" does not include any
organization more than half of whose members are employees who
are owners, officers, or executives of the Employer.
d. / / Employees who are nonresident aliens (within the meaning of
Code Section 7701(1)(B)) and who received no earned income
(within the meaning of Code Section 911(d)(2)) from the Employer
which constitutes income from sources within the United States
(within the meaning of Code Section 861(a)(3)).
e. / / The age and service requirement for eligibility to
participate shall be waived for individuals employed on the
Effective Date of this Adoption Agreement.
6.2 DISCRETIONARY PROFIT SHARING CONTRIBUTION: Each Employee except the
following shall be eligible to participate in any Discretionary Profit
Sharing Contributions in accordance with Section 5 above.
a. / / Employees who have not attained the age of _____ (cannot
exceed 21).
b. / / Employees who have not completed _____ Year of Service
(cannot exceed 1 year unless the Plan provides for 100% vesting
of this contribution). If the Year of Service selected is or
includes a fractional year, an Employee will not be required to
complete any specified Hours of Service to receive credit for
such fractional year.
c. / / Employees included in a unit of Employees covered by a
collective bargaining agreement between the Employer and Employee
Representatives, if retirement benefits were the subject of good
faith bargaining SHALL NOT be eligible to participate. For this
purpose, the term "Employee Representatives" does not include any
organization more than half of whose members are employees who
are owners, officers, or executives of the Employer.
d. / / Employees who are nonresident aliens (within the meaning of
Code section 7701(1)(B)) and who received no earned income
(within the meaning of Code Section 911(d)(2)) from the Employer
which constitutes income from sources within the United States
(within the meaning of Code section 861(a)(3)).
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e. / / The age and service requirement for eligibility to
participate shall be waived for individuals employed on the
Effective Date of this Adoption Agreement.
7. COMPENSATION shall mean all money or value which is actually paid to the
Participant during the Plan Year, as represented in Sections 7.1 and 7.2
below. Unless elected otherwise by the Employer below, Compensation SHALL
INCLUDE Employer contributions made pursuant to a salary reduction
agreement which are not includible in the gross income of the employee
under sections 125, 402(a)(8), 402(h) or 403(b) of the Code. Unless
elected otherwise by the Employer below, Compensation, for purposes of the
Cash or Deferred Arrangement, SHALL INCLUDE earnings paid prior to the date
an Employee became a Participant. Criteria for hardship distributions are
set forth in the basic plan.
7.1 / / W-2 earnings reported in the Wages, Tips, and Other
Compensation Box on Form W2.
7.2 / / Compensation (as that term is defined in Section 415(c)(3)
of the Code).
7.3 / / Compensation SHALL NOT INCLUDE Employer contributions made
pursuant to a salary reduction agreement which are not includible
in the gross income of the employee under Sections 125,
402(a)(8), 402(h) or 403(b) of the Code.
7.4 / / Compensation SHALL NOT INCLUDE earnings paid prior to the
date the Employee became a Plan Participant.
8. NORMAL RETIREMENT AGE shall mean:
The later of age _____ (not to exceed age 65) or the _____ (not to exceed
5th) anniversary of the first day of the first Plan Year in which the
Participant commenced participation in the Plan. If no age is elected and
this section is left blank, Normal Retirement Age will be deemed to be 65.
9. VESTING
9.1 EMPLOYER MATCHING CONTRIBUTIONS: If a Participant terminates prior to
Normal Retirement Age he shall receive a percentage of his Accrued
Benefit derived from Matching Contributions according to the vesting
schedule checked below. Each Participant shall be 100% vested at all
times in his Elective Deferral Contributions, any Qualified Matching
Contributions or any Qualified Non-elective Contributions the Employer
may make to the Plan on his behalf. Each Participant shall vest in
his share of any Discretionary Profit Sharing Contributions according
to the schedule determined in Section 9.2 below.
a. / / One hundred percent schedule - 100% at all times.
b. / / Twenty Percent Schedule - 20% after the second Covered Year
of Service and 20% for each additional year credited thereafter,
until 100% is reached at six years.
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c. Variable Schedule:
Based on Covered Year of Service after Year:
1 _______ 3 _______ 5 _______ 7 100%
2 _______ 4 _______ 6
This option c shall not be less favorable than the vesting schedules
contained in Internal Revenue Code Sections 411(a)(2)(A) and (B).
d. / / Years of Service for purposes of determining vesting shall
exclude Years of Service
d.1 / / prior to the Effective Date of this Plan or a
predecessor plan.
d.2 / / prior to the age of 18.
Note: Option b will automatically apply if and when this Plan shall
become top heavy provided that Option a has not been elected and
Option c is not at least as favorable as Option b.
If the vesting schedule under the Plan (s) shifts in or out of the
above vesting schedule for any Plan Year because of the Plan's top
heavy status, such shift is an amendment to the vesting schedule and
the election in Section 1.4 of the Plan applies.
Notwithstanding the above, the Accrued Benefit shall become fully
vested at Normal Retirement Age.
9.2 EMPLOYER DISCRETIONARY PROFIT SHARING CONTRIBUTIONS: If a Participant
terminates prior to Normal Retirement Age he shall receive a
percentage of his Accrued Benefit derived from Discretionary Profit
Sharing Contributions according to the vesting schedule checked
below. Each Participant shall be 100% vested at all times in his
Elective Deferral Contributions, any Qualified Matching Contributions
or any Qualified Non-elective Contributions the Employer may make to
the Plan on his behalf.
a. / / One hundred percent schedule - 100% at all times.
b. / / Twenty Percent Schedule - 20% after the second Covered Year
of Service and 20% for each additional year credited thereafter,
until 100% is reached at six years.
c. / / Variable Schedule:
Based on Covered Year of Service after Year:
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1 _______ 3 _______ 5 _______ 7 _______ 100%
2 _______ 4 _______ 6 _______
This option c shall not be less favorable than the vesting schedules
contained in Internal Revenue Code Sections 411(a)(2)(A) and (B).
d. / / Years of Service for purposes of determining vesting shall
exclude Years of Service
d.1 / / prior to the Effective Date of this Plan or a
predecessor plan.
d.2 / / prior to the age of 18.
Note: Option b will automatically apply if and when this Plan shall become
top heavy provided that Option a has not been elected and Option c
is not at least as favorable as Option b.
If the vesting schedule under the Plan(s) shifts in or out of the above
vesting schedule for any Plan Year because of the Plan's top heavy status,
such shift is an amendment to the vesting schedule and the election in
Section 1.4 of the Plan applies.
Notwithstanding the above, the Accrued Benefit shall become fully vested at
Normal Retirement Age.
10. CONTRIBUTIONS
10.1 DISCRETIONARY PROFIT SHARING CONTRIBUTIONS:
Employer Profit Sharing contributions under the Plan shall be made
solely at the discretion of the Employer pursuant to Section 4.1 of
the Plan, and shall be allowed up to the maximum amount specified in
Section 5.5 of the Plan. Determination by the Employer to make a
Discretionary Profit Sharing Contribution, and Elective Deferral
Contributin, a Qualified Matching Contribution, a Qualified Non-
Elective Contribution or a Matching Contribution shall be made
without regard to current or accumulated profits. Forfeitures of
Employer Profit Sharing Contributions shall be added to and allocated
with the Employer's Contribution.
a. ALLOCATION OF CONTRIBUTIONS: The Employer Profit Sharing
Contribution to the Plan will be allocated among the accounts of
Participants as of the Anniversary Date as follows:
a.1 / / The Employer shall not allocate a portion of a
Discretionary Profit Sharing Contribution on behalf of
a Participant who terminates employment with the
Employer by reason other than death, disability or
retirement, who is not employed with the Employer on
the Anniversary Date
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and who is not credited with more than 500 Hours of
Service.
a.2 / / ALLOCATION BASED ON COMPENSATION: In the ratio
which each Participant's Compensation bears to the
Compensation paid to all Participants.
a.3 / / ALLOCATION UNDER PERMITTED DISPARITY RULES:
Employer Profit Sharing Contributions for the Plan Year
plus any forfeitures will be allocated to Participants'
accounts under the rules for Permitted Disparity. (As
defined in Section 5.8 of the Plan Document and
described below). Excess Compensation shall mean
Compensation in excess of the Taxable Wage Base at the
beginning of the Plan Year.
If the Plan is Top Heavy for the Plan Year (as defined in
Section 8 of the Plan document), begin at step a.3(a);
otherwise begin at step a.3(c).
a.3 (a) Contributions and forfeitures will be allocated to
each Participant's account in the ratio that each
Participant's total Compensation bears to all
Participant's total Compensation, but not in excess of
3% of each Participant's Compensation.
a.3 (b) Any contributions and forfeitures remaining after
the allocation in a.3(a) above will be allocated to each
Participant's account in the ratio that each
Participant's Compensation for the Plan Year in excess
of the Integration level bears to the Excess
Compensation of all Participants, but not in excess of
3% of each Participant's Compensation.
a.3 (c) Any contributions and forfeitures (remaining after
the allocation in a.3(b) above in the case of a Top
Heavy Plan) will be allocated to each Participant's
account in the ratio that the sum of each Participant's
total Compensation and Compensation in excess of the
Integration Level bears to the sum of all Participants'
total Compensation and Compensation in excess of the
Integration Level, but not in excess of the Maximum
Disparity Rate.
a.3 (d) Any remaining Employer contributions or
forfeitures will be allocated to each Participant's
account in the ratio that each Participant's total
Compensation for the Plan Year bears to all
Participants' total Compensation for that year.
10.2 ELECTIVE DEFERRALS: A Participant may elect to have his or her
Compensation reduced by the following percentage per pay period, or
for a specified pay period or periods, as designated in writing to
the Plan Administrator. The amount which may be elected shall not be
in excess of
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_____ percent of a Participant's Compensation. The Employer's
contribution for Elective Deferrals shall be made without regard to
current or accumulated profits. Unless elected otherwise by the
Employer below, a Participant's election regarding Elective Deferrals
shall apply to his cash bonuses.
a. A Participant may elect to commence Elective Deferrals as of
__________ (i.e., each entry date). Such election shall become
effective as of the _____ pay period following the pay period
during which the Participant's election to commence Elective
Deferrals was made, or as soon as administratively feasible
thereafter.
b. / / A Participant's election regarding Elective Deferrals SHALL
NOT apply to Cash Bonuses.
c. No Participant shall be permitted to have Elective Deferrals made
under this plan during any calendar year in excess of $7,000,
multiplied by the Adjustment Factor.
d. A Participant's election to have Elective Deferrals made pursuant
to a salary reduction agreement shall remain in effect until
modified or terminated.
e. A Participant may modify the amount of Elective Deferrals as of
__________ (i.e., each entry date). Such modification shall
become effective as of the _____ pay period following the pay
period during which the Participant's election to modify Elective
Deferrals was made, or as soon as administratively feasible
thereafter.
f. A Participant may CEASE Elective Deferrals at any time, effective
with the _____ pay period following the pay period during which
the Participant's election to cease Elective Deferrals was made,
or as soon as administratively feasible thereafter.
11. QUALIFIED NON-ELECTIVE CONTRIBUTIONS
11.1 / / The Employer may make Qualified Non-elective Contributions
to the plan in such amounts as determined by the Employer. The
contribution shall be 100% vested and treated as a deferral for
purposes of distribution. Employer contributions for Qualified
Non-elective Contributions shall be made without regard to
current or accumulated profits.
11.2 If Qualified Non-elective Contributions are needed to meet the Actual
Deferral Percentage ("ADP") test described in Section 11.4 of the
Plan, such contribution shall be allocated as of the Anniversary Date
to the accounts of:
a. / / Non-highly compensated Participants
b. / / ALL Non-Key and Non-highly Compensated Employees who are
Participants
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c. / / All Participants
in the ratio that each such Participant's Compensation for the
Plan Year bears to the total Compensation of all such compensated
Participants for such Plan Year.
11.3 If Qualified Non-elective Contributions are made to the Plan for a
purpose other than to meet the Actual Deferral Percentage test
described in Section 11.4 of the Plan (i.e., to meet a minimum
contribution requirement under the top heavy rules), the contribution
shall be allocated among the accounts of:
a. / / Non-Key Participants and shall be made in the ratio in which
each Non-Key Participant's Compensation for the Plan Year bears
to the total Compensation of all Non-Key Participants for such
Plan Year.
b. / / all Participants and shall be made in the ratio in which
each Participant's Compensation for the Plan Year bears to the
total Compensation of all Participants for such Plan Year.
12. QUALIFIED MATCHING CONTRIBUTIONS (100% Vested)
12.1. / / The Employer will make Qualified Matching Contributions to
the Plan on behalf of Participants defined below who make
Elective Deferrals, irrespective of their employment status on
the last day of the Plan Year. The contribution shall be 100%
vested and treated as a deferral for purposes of distribution.
The Employer's determination to make a Qualified Matching
Contribution shall be made without regard to current or
accumulated profits.
a. / / all Participants who make Elective Deferrals.
b. / / all Non-highly compensated Participants who make Elective
Deferrals.
12.2 The amount of Qualified Matching Contributions made on behalf of each
such Participant shall be as specified below:
a. / / _____ percent of the Elective Deferral made for each Plan
Year.
b. The Employer shall not match Elective Deferrals as provided in a.
above in excess of
$__________ or in excess of _____ percent of the Participant's
Compensation.
12.3 / / The Employer may make Qualified Matching Contributions from
time to time as it deems advisable, without regard to current or
accumulated profits. Such contribution shall be equal to a
specified percentage of the Participant's Elective Deferral,
provided the Employer may establish a limit on the amount of the
Elective Deferral which shall be
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matched by resolution or other official statement. The limit
shall be specified as either a dollar amount or as a percentage
of Compensation. This contribution shall be made on behalf of
all individuals who deferred during the Plan Year. The
contribution shall be 100% vested and treated as a deferral for
purposes of distribution.
12.4 The level of contributions chosen by the Employer is subject to the
Code Section 401(m)(2) discrimination test and the Section 415
contribution limitations.
13. MATCHING CONTRIBUTIONS (May be subject to a Vesting Schedule under
Section 9)
13.1 / / The Employer will make Matching Contributions to the Plan on
behalf of Participants defined below who make Elective Deferrals,
irrespective of their employment status on the last day of the
Plan Year. The contribution shall be allocated to all
Participants who make Elective Deferrals, may be subject to a
vesting schedule and treated as a non-elective Employer
contribution for purposes of distributions. The Employer's
determination to make a Matching Contribution shall be made
without regard to current or accumulated profits.
13.2 / / Matching contributions will be:
a. / / Nonforfeitable when made.
b. / / Subject to the vesting schedule applicable to Employer
contributions, other than Elective Deferrals, Qualified
Non-elective Contributions and Profit Sharing Contributions,
under the Plan.
13.3 The amount of such Matching Contributions made on behalf of each
Participant shall be:
a. / / _____ percent of the Elective Deferral made for each Plan
Year.
b. / / The Employer shall not match Elective Deferrals as provided
in Section 13.1 above in excess of $__________ or in excess of
____ percent of the Participant's Compensation.
13.4 / / The Employer may make Matching Contributions from time to
time as it deems advisable, without regard to current or
accumulated profits. Such contribution shall be equal to a
specified percentage of the Participant's Elective Deferral,
provided that the Employer may establish a limit on the amount of
the Elective Deferral which shall be matched. Such limit shall
be specified by resolution or other official statement either as
a dollar amount or as a percentage of Compensation. This
contribution shall be made on behalf of all individuals who
deferred during the Plan Year.
13.5 The level of contributions chosen by the Employer is subject to the
Code Section 401(m)(2) discrimination test and the Section 415
contribution limitations.
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14. SPECIAL DISTRIBUTIONS AND MISCELLANEOUS RULES
14.1 Elective Deferrals, Qualified Matching Contributions, Qualified
Non-elective Contributions and income allocable to such amounts shall
be distributable upon separation from service, death, or disability,
as defined in the underlying Plan document. Further, such amounts may
be distributable on any of the following events:
a. Termination of the Plan without the establishment of another
defined contribution plan.
b. As soon as would be administratively feasible after the
disposition by the Employer to an unrelated corporation of
substantially all of the assets (within the meaning of Code
Section 409(d)2)) used in a trade or business of the employer,
if the employer continues to maintain this Plan after such
disposition, but only with respect to employees who continue
employment with the corporation which acquired such assets.
c. As soon as would be administratively feasible after the
disposition by the Employer to an unrelated entity of the
Employer's interest in a subsidiary (within the meaning of Code
Section 409(d)(3)) if the Employer continues to maintain this
Plan, but only with respect to Employees who continue employment
with such subsidiary.
14.2 HARDSHIP DISTRIBUTIONS:
/ / Upon application to, and approval by, the Administrator, a
special distribution may be made upon the hardship of the
Participant, to the extent provided for in Section 11.6(C) of the
Plan, and subject to applicable regulations prescribed by the
Secretary of the Treasury.
14.3 AGE 59 1/2:
/ / A Participant shall be permitted to withdraw all or a portion of
his vested account balance on or after the attainment of age
59 1/2.
14.4 PARTICIPANT LOANS:
/ / Participant loans shall be permitted in this Plan.
14.5 CALENDAR YEAR ELECTION:
Irrespective of any other language, clause or provision in the Plan
and Trust or Adoption Agreement, for Plans that have elected to use
the calendar year (the twelve contiguous month period beginning
January 1 and ending December 31) as the Plan's Plan Year, the
Employer shall use the calendar year ending with the Plan Year in the
look-back year (as defined in Treasury Regulations under Section
414(q) of the Code) calculation for determining which Employees are
Highly Compensated Employees. The use of the calendar year as the
look-back year shall apply to all Plans, entities, and arrangements of
the Employer. The
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determination year shall be the twelve month period ending with the
Plan Year as well.
For Plans not using the calendar year as their Plan Year, the
determination year shall be the same as the Plan Year and the Employer
shall use the twelve contiguous months immediately preceding the
determination year as the look-back year.
14.6 VALUATION DATE(s) for DISTRIBUTIONS:
The Plan shall have the following interim Valuation Date(s) for
purposes of distributions:
a. / / Daily (each day of the Plan Year)
b. / / Quarterly (last day of each quarter of the Plan Year)
c. / / Other ___________________________________________
15. CLAIMS FOR EXCESS ELECTIVE DEFERRALS: Participants may notify the Plan of
and claim Excess Elective Deferrals for the preceding calendar year by
submitting their claims in writing to the Plan Administrator by March 1.
16. ACTUAL DEFERRAL AND CONTRIBUTION PERCENTAGES
16.1 Qualified Matching Contributions and Qualified Non-Elective
Contributions may be taken into account as Elective Deferrals for
purposes of calculating the Actual Deferral Percentages. In
determining Elective Deferrals for the purpose of the ADP test the
Employer shall include such Qualified Matching Contributions and such
Qualified Non-Elective Contributions under this Plan or any other Plan
of the Employer as necessary to meet the test and as provided for by
regulations under the Code.
16.2 The amount of such contributions taken into account as Elective
Deferrals for purposes of calculating the Actual Deferral Percentage,
subject to such other requirements as may be prescribed by the
Secretary of the Treasury, shall be those contributions as needed to
meet the test.
16.3 Qualified Matching Contributions and Qualified Non-Elective
Contributions may be taken into account as Contributions for purposes
of calculating the Actual Contribution Percentages. In determining
which contributions shall be counted for the purpose of the ACP test
the Employer shall include such Qualified Matching Contributions and
such Qualified Non-Elective Contributions under this Plan or any other
Plan of the Employer as necessary to meet the test and as provided for
by regulations under the Code.
16.4 The amount of such contributions taken into account as Contributions
for purposes of calculating the Actual Contribution Percentage,
subject to such other requirements as may be prescribed by the
Secretary of the Treasury, shall be those contributions as needed to
meet the test.
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17. FORFEITURES: Forfeitures of Matching Contributions shall be: (Required if
the Employer elects to make Matching Contributions in this Adoption
Agreement)
17.1 / / Applied in the current year of forfeiture to reduce employer
contributions.
17.2 / / Allocated in the current year of forfeiture, after all other
forfeitures under the plan, to each Participant's Matching
Contribution account in the ratio which each Participant's
Compensation for the Plan Year bears to the total Compensation of
all Participants for such Plan Year. Such forfeitures will not
be allocated to the account of any Highly Compensated Employee.
18. / / INDIVIDUAL INVESTMENT DIRECTION: If the Employer has elected this
Section, each Participant will have the right to direct the investment of
the amount allocated to his Plan account for each of the contribution types
which have also been checked below. Each Participant will have the power
to direct the investment with respect to those contributions and the
earning or losses thereon subject to such rules as the Administrator and
the Trustee may deem necessary. Gains and losses of the funds so directed
by the Participant shall accrue solely to those funds. The Participant
directing the investment of amounts allocated to his account shall be
solely responsible for the investment results of such directions. This
means that the Participant shall be solely responsible for whatever gains
and/or losses are attributable to the amounts allocated to his account for
which he directs the investment. Contributions not checked below will be
held in a pooled trust and subject to the investment direction and
management of the Plan Administrator. If the Participant fails to direct
the investment of any contribution type checked below, the failure will be
deemed a direction by the Participant to invest said funds in a money
market, dollar-a-share fund or similar vehicle chosen by the Plan for this
purpose.
18.1 / / Elective Deferrals
18.2 / / Qualified Non-elective Contributions
18.3 / / Matching Contributions
18.4 / / Qualified Matching Contributions.
18.5 / / Profit Sharing Contributions
19. LIMITATION YEAR shall mean each 12 consecutive month period ending on
_________________.
20. LIMITATION IN BENEFITS: If the Employer maintains or has ever maintained,
in addition to this Plan, one or more plans which are either qualified
defined benefit plans or qualified defined contribution plans other than
paired plans:
Plan #01 - Adoption Agreement 000
Xxxx #00 - 000, 002, 004, 003, 006, 009
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in which any Participant in this Plan is (or was) a participant or could
possibly become a participant, the Employer must complete this Section.
The Employer must also complete this Section if it maintains a welfare
benefit fund, as defined in Code Section 419(e), or an individual medical
account, as defined in Code Section 415(l)(2) under which amounts are
treated as annual additions with respect to any participant in this Plan.
If the Participant is covered under another qualified defined contribution
plan maintained by the Employer, other than a master or prototype plan:
20.1 / / The provisions of Section 5.5 (B) of the Plan will apply as
if the other plan were a master or prototype plan.
20.2 / / The total Annual Additions will be limited to the maximum
permissible amount and excess amounts will be reduced in a manner
that precludes Employer discretion, as follows:
20.3 / / If the Participant is or has ever been a Participant in a
defined benefit plan maintained by the Employer, the benefits
under the plans will be limited as follows (this method must
preclude Employer discretion):
21. MINIMUM CONTRIBUTION FOR TOP HEAVY PLAN: If the Employer maintains one or
more defined benefit plans in which a Participant participates in addition
to this Plan and does not maintain any other defined contribution plans in
which a Participant participates, the minimum benefit requirement
applicable to Top Heavy Plans shall be met under this Plan. If the minimum
benefit requirement is met under this Plan, the additional minimum benefit
shall not be provided.
22. YEAR OF SERVICE shall mean 1000 Hours of Service unless the Employer elects
otherwise below.
Hours of Service (less than 1000 Hours of Service).
23. PREDECESSOR EMPLOYER: Service with the following Predecessor Employer(s):
shall be counted for purposes of eligibility, Years of Service, and vesting
(Covered Years of Service).
24. ADMINISTRATOR shall mean the Employer unless the Employer appoints an
individual or entity below. The Administrator shall have the sole and
ultimate authority to interpret the Plan terms and provisions.
25. OTHER BENEFITS
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/ / Early Retirement Benefit (fully vested): Subject to the Joint and
Survivor Annuity requirements, any Participant may retire and receive the
entire amount in his Participant Account provided he has attained age _____
and has at least _____ Covered Years of Service.
26. ACTUARIAL EQUIVALENT:
For purposes of establishing present value to compute the top heavy ratio,
benefit payments shall be discounted only for mortality and interest based
on the following:
26.1 / / Pre-Retirement Interest Rate _____%.
26.2 / / Post-Retirement Mortality Table: __________________ with
_____% interest.
27. PARTICIPATING AFFILIATES: Each Affiliate (i.e., each member of a
controlled group of corporations, commonly controlled group of businesses,
or an affiliated service group within the meaning of Section 414 of the
Code) must adopt this Plan as a Participating Affiliate. [Attach
additional signature pages if there is more than one Participating
Affiliate.]
Participating Affiliate Name: _______________________________________
Employer Tax I.D.: __________________________________________________
Taxable Year: _______________________________________________________
By: ___________________________ Title: ____________ Date: _______
28. ADMINISTRATOR: If the Employer has appointed an individual or an entity,
the following named individuals shall serve as Plan Administrator.
Signature by the Administrator (if other than the Employer) is in
acknowledgement of acceptance of appointment.
Administrator(s) Name(s) : Signature(s):
Optional Provision - To be elected if Plan Section 10.6 (E) is elected
< 29.> APPOINTMENT OF TRUSTEE OR CUSTODIAN (Select 29.1 or 29.2)
Incorporated businesses must name a Trustee. Unincorporated businesses
covering one or more Self Employed Individuals may appoint a Custodian or a
Trustee.
29.1 The following individual or entity shall be Trustee(s):
Name: __________________________________________________________
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Address: _______________________________________________________
Phone Number: __________________________________________________
Signature by the Trustee is in acknowledgment of acceptance of
appointment.
Signature: _____________________________________________________
29.2 The following individual or entity shall be Custodian(s).
Name: __________________________________________________________
Address: _______________________________________________________
Phone Number: __________________________________________________
Signature by the Custodian is in acknowledgment of acceptance of
appointment.
Signature: _____________________________________________________
Optional Provision - To be elected if Plan Section 10.6 (E) is not elected
< 29.> APPOINTMENT OF TRUSTEE: The following individual or entity shall be
Trustee(s):
Name: _______________________________________________________________
Address: ____________________________________________________________
Phone Number: _______________________________________________________
Signature by the Trustee is in acknowledgment of acceptance of appointment.
Signature: __________________________________________________________
Optional Provision - To be elected if Plan Section 10.7 is elected.
30. INSURANCE TRUSTEE: Signature by the Trustee is in acknowledgement of
acceptance of appointment.
Insurance Trustee Name: _____________________________________________
Signature: __________________________________________________________
30. < 31.> ADOPTION AGREEMENT USAGE
This Adoption Agreement is only to be used with basic Defined Contribution Plan
document 02. An Employer who has ever maintained or who later adopts any plan
(including a welfare benefit fund, as defined in Section 419(e) of the Code,
which provides post-retirement medical benefits allocated to separate accounts
for key employees as defined in Code Section 419A(d)(3), or an individual
medical account, as defined in Section 415(1)(2) of the Code) in addition to
this Plan other than paired plans:
Plan #01 - Adoption Agreement 000
Xxxx #00 - 000, 002, 004, 003, 006, 009
Page 15
may not rely on the opinion letter issued by the National Office of the Internal
Revenue Service as evidence that this Plan is qualified under Section 401 of the
Internal Revenue Code. If the Employer who adopts or maintains multiple plans
other than the paired plans identified above wishes to obtain reliance that its
plans are qualified, application for a determination letter should be made to
the appropriate Key District Director of Internal Revenue. [Failure of the
Employer to properly complete this Adoption Agreement may result in the
disqualification of this Plan.] The Employer may not rely on the opinion letter
issued by the National Office of the Internal Revenue Service as evidence that
this Plan is qualified under Section 401 of the Code unless the terms of the
Plan, as herein adopted or amended, that pertain to the requirements of Sections
401(a)(4), 401(a)(17), 401(1), 401(a)(5), 410(b) and 414(s) of the Code, as
amended by the Tax Reform Act of 1986 or later laws,
30.1 are made effective retroactively to the first day of the Plan Year
beginning after December 31, 1988 (or such other date on which these
requirements first become effective with respect to this Plan);
30.2 are made effective no later than the first day on which the Employer is no
longer entitled, under regulations, to rely on a reasonable good faith
interpretation of these requirements, and the prior provisions of the Plan
constitute such an interpretation.
31. < 32.> SPONSORING ORGANIZATION - The Sponsoring organization or its
authorized representative identified below will inform the
adopting employer of any amendments made to the Plan or of the
discontinuance or abandonment of the Plan. The organization
sponsoring this Plan is:
The authorized representative of the sponsoring organization is:
The Employer represents that the legal and tax aspects of this Plan and
Trust have been duly considered and passed upon by its attorney and/or tax
advisor who has determined that it is suitable and has been properly
completed and adopted.
ADOPTION FOR THE EMPLOYER
By: ______________________________________________________ Date: _______
Document #61732
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