Instructions For Schedule Q (Form 5300) - Elective Determination Requests (Page 2 of 5) in pdf

not a determination that the plan’s rate

If ‘‘Yes’’ is checked, attach a schedule

nondiscriminatory in amount. See

groups satisfy the modified average

label Demo 7. See the instructions for

Regulations section 1.401(a)(4)-6(c).

benefit test that is included in the general

Demo 7 under Guidelines for Certain

If you enter the letter “C,” attach a

test.

Demonstrations on page 5.

Demo 11, if applicable. See the

If this is a request for a determination

Line 8. Check ‘‘Yes’’ if a determination is

instructions for Demo 11 under

regarding a non-design based safe harbor

being requested for a plan that is part of a

Guidelines for Certain Demonstrations on

or a general test see the instructions for

floor arrangement. If “Yes” is checked,

page 5.

Demo 6 under Guidelines for Certain

attach a schedule labeled Demo 8. See

Guidelines For Certain

Demonstrations on pages 4 and 5. The

the instructions for Demo 8 under

Demo 6 must show that the plan satisfies

Guidelines for Certain Demonstrations on

Demonstrations

either:

page 5.

The following instructions describe

1. The contributions or benefits

Nondiscriminatory

additional information that must be

general test in Regulations sections:

•

included in the demonstrations.

1.401(a)(4)-2(c),

Compensation and

•

1.401(a)(4)-3(c),

Applicants must follow the

•

Employee Contributions

1.401(a)(4)-8(b)(2),

guidelines in these instructions

•

1.401(a)(4)-8(c)(2),

and indicate in their

•

Line 9. Check “Yes” if a determination is

CAUTION

1.401(a)(4)-8(c)(3)(iii)(C), or

demonstrations where the elements in the

•

being requested where:

1.401(a)(4)-9(b).

guidelines are addressed. Applicants

1. The plan bases contributions or

2. The nondesign-based safe harbors

must explain why any elements have not

benefits on a definition of compensation

described in Regulations section

been addressed.

that does not satisfy the requirements of

1.401(a)(4)-2(b)(3) (safe harbor for

Regulations section 1.414(s)-1(c)(2) or

Information or computations that are

uniform point plans) or Regulations

(3); or

used for more than one purpose or

section 1.401(a)(4)-3(b)(4)(i)(C)(3)

2. The plan includes a section 401(k)

provided elsewhere in the application may

(alternative safe harbor for flat benefit

and/or section 401(m) plan that

not be cross-referenced.

plans).

incorporates an actual deferral

Demo 1 – Qualified Separate

Also enter one of the following letters

percentage or actual contribution

Lines of Business

percentage test using a definition of

in the space provided in line 6 that

indicates if the determination requested

compensation that does not satisfy the

Provide a schedule with the following

relates to:

requirements of Regulations sections

information, as applicable:

1.414(s)-1(c)(2) or (3).

1. A Defined Benefit Plan (DBP)

1. The Code section(s) for which the

being tested under the general test in

employer is testing on a separate line of

If this plan has been disaggregated

Regulations section 1.401(a)(4)-3(c) that

business basis (for example, section

into separate plans or restructured into

involves a facts and circumstances

410(b) or section 401(a)(26)),

component plans, this line may be

determination under the ‘‘safety valve’’

2. The separate lines of business that

checked “Yes” to request a determination

rule in Regulations section

have employees benefiting under the

if any of the separate disaggregated plans

1.401(a)(4)-3(c)(3);

plan,

or restructured component plans are

2. A plan being tested under a

3. A demonstration of how the plan

described in 1 or 2 above. Also complete

general test that does not involve a

meets the nondiscriminatory classification

a Demo 4 and indicate on the Demo 4

determination under the safety valve rule;

requirement of section 410(b)(5)(B) and

each disaggregated plan or component

Regulations section 1.414(r)-8(b)(2) on an

plan to which 1 or 2 applies.

3. A plan intended to satisfy a

employer-wide basis, and

nondesign-based safe harbor.

4. If the requirements of section

Section 401(k) and 401(m) plans

410(b) or section 401(a)(26) are to be

may not be restructured.

Line 7. Check line 7(i) ‘‘Yes’’ if a

applied to this plan on an employer-wide

CAUTION

determination is being requested

basis under the special rules for

regarding any plan provision which

Attach Demo 9 if you checked “Yes”

employer-wide plans, a demonstration of

provides for pre-participation or imputed

and see the instructions for Demo 9 under

how the plan meets the requirements of

service as defined in Regulations section

Guidelines for Certain Demonstrations on

the applicable special rule in Regulations

1.401(a)(4)-11(d)(3)(ii). Check line 7(ii)

page 5.

sections 1.414(r)-1(c)(2)(ii) or

‘‘Yes’’ if a determination is being

1.414(r)-1(c)(3)(ii).

Line 10. Check “Yes” if this is a defined

requested for a plan amendment or, in the

benefit plan and a determination is being

case of an initial determination, a plan

Demo 2

requested regarding employee

provision which provides for a period of

contributions not allocated to separate

A Demonstration is not required. See

past service that exceeds the period set

accounts.

explanation for line 2 on the Schedule Q

forth in the safe harbor in Regulations

(Form 5300).

Line 11. Enter the letter shown on the

section 1.401(a)(4)-5(a)(3).

form that corresponds to the method that

Demo 3 – Nondiscriminatory

Do not check ‘‘Yes’’ if past service,

is being used to determine the

pre-participation service, or imputed

Current Availability of Benefits,

employer-provided benefit for purposes of

service is credited under the plan solely to

Rights, and Features

Regulations section 1.401(a)(4)-6(b). The

the extent required by one or more of the

composition-of-workforce and minimum

1. An applicant requesting a

following:

benefit methods may only be used with

determination that a plan satisfies the

1. The service crediting rules under

plans that satisfy the unit credit safe

nondiscriminatory current availability

section 410(a) (eligibility), section 411(a)

harbor in Regulations section

requirement of Regulations section

(vesting), section 413 (collectively

1.401(a)(4)-3(b)(3).

1.401(a)(4)-4(b) for any benefit, right, or

bargained plans), or section 414(a)

If you enter the letter “A,” attach a

feature (‘‘BRF’’) specified by the applicant

(service for predecessor employer),

Demo 10. See the instructions for Demo

should ordinarily demonstrate the

2. The hour of service method under

10 under Guidelines for Certain

following for each BRF that the applicant

29 CFR 2530.200b-2 and the elapsed

Demonstrations on page 5. If applicable,

wants considered:

time service-crediting methods under

also indicate the plan factor.

Regulations section 1.410(a)-7, and

a. Identify the specific BRF, including

3. The prohibition on double proration

Line 12. Enter the letter that corresponds

terms pertaining to the BRF, such as

of service and compensation in 29 CFR

to the method used to show that the

eligibility conditions, timing, election

section 2530.204-2(d).

employee-provided benefit is

rights, etc.

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Instructions For Schedule Q (Form 5300) - Elective Determination Requests Page 2

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