Definition
A Master&Prototype Plan that would be a standardized plan except that the plan:
- Is not required, by its terms, to benefit all nonexcludable employees and may, in the case of a defined contribution plan, condition allocations on employment on the last day of the plan year and/or the completion of up to 1000 hours of service during the plan year;
- May use certain alternative definitions of compensation [ as described in IRC § 414(s) ] determining contributions or benefits that must be tested for nondiscrimination
- May provide past service credit that fails to meet the safe harbor for certain grants of benefits for past periods ( described in § 1.401(a)(4)-5(a)(3)).
Referring Cite
Rev. Proc. 2005-16,
Additional Helpful Information
- The opinion letter issued for the plan will state that the plan is a nonstandardized safe harbor plan.
