Cross-Tested Plans Specialty Workshop (1-day)

The text below is from the program that ran in August/September 2008 and is for information only. If you're interested in an onsite presentation for your group, please submit a Call me request or e-mail webtechsem@relius.net.

 

Taking Advantage of New IRS Options.

Cross-tested plans continue to grow in popularity. The cross-tested design is flexible, manageable, and now, with changes to IRS procedures permitting the plan design in a prototype, as easily implemented as a regular profit sharing plan. Maybe the more significant development is the IRS approval of the “every participant in his/her own classification” plan design. This design provides the employer more flexibility and the ability to handle troublesome fact patterns and changing demographics. As you commence the EGTRRA restatement process, you need to learn how to utilize this new plan design, as many employers with cross-tested plans may wish to re-design their plans when they restate.

Topics Include

  • Each Participant in Own Classification.
  • Troubleshooting.
  • Plan Design Options.
  • Combined Cross-Tested & 401(k) Designs.
  • Minimum Gateway Requirements.
  • Prototype vs. Volume Submitter.

Objectives

  • Determine when a cross-tested plan is appropriate.
  • Prepare a general nondiscrimination (rate group testing) worksheet.
  • Design classifications for a cross-tested plan.
  • Convert a contribution rate to a benefit rate.
  • Allocate and test a contribution under cross-tested and age-based plans.
  • Design a cross-tested, safe harbor 401(k) cross-tested, or age-based plan.
  • Understand the flexibility of “each participant in his/her own classification” plan design.
  • Compare a cross-tested plan with a DB/DC “combo” plan.
  • Review other design alternatives.

Back-to-Back Scheduling

The Cross-Tested Plans Workshop and the Cash Balance Plans Workshop are offered in a convenient, 2-day format. Cross-Tested Plans is offered on day one, followed by Cash Balance Plans on day two. A multi-program registration discount is offered for those who wish to attend both programs at the same location.

Who Should Attend

Any ERISA practitioner, pension consultant, plan administrator, CPA, attorney, actuary, or trust officer who would like to better understand and utilize cross-tested design and testing.