Calculate the Dollar Amount of Excess Aggregate Contributions for Each HCE. The amount of excess aggregate contributions attributable to a given HCE for a plan year is the amount (if any) by which the HCE’s contributions taken into account as contributions for purposes of the ACP test must be reduced for the HCE’s ACR to equal the highest permitted ACR under the plan. To calculate the highest permitted ACR under the plan, the ACR of the HCE with the highest ACR is reduced by the amount required to cause that HCE’s ACR to equal the ACR of the HCE with the next highest ACR. If a lesser reduction would enable the arrangement to satisfy the requirements of paragraph (C) below and Regulation section 1.401(m)-2(b)(2)(ii)(C), only this lesser reduction is used in determining the highest permitted ACR.
Appears in 3 contracts
Sources: 401(k) Savings Investment Plan (Furmanite Corp), 401(k) Savings Plan (Mens Wearhouse Inc), 401(k) Savings Investment Plan Amendment (Furmanite Corp)