Question: Safe harbor Section 4 0 1 ( k ) plans are appropriate for employers who want to encourage plan participation among highly compensated employees. want
Safe harbor Section k plans are appropriate for employers who
want to encourage plan participation among highly compensated employees.
want a plan that must be tested annually for coverage requirements.
want to provide for a high level of employee elective deferrals without annual discrimination testing.
have highly compensated employees whose elective deferrals would be limited in a traditional Section k plan because of ADP testing.
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