Discretionary Contributions Sample Clauses
The Discretionary Contributions clause defines the right of a party, typically an employer or plan sponsor, to make additional, non-mandatory contributions beyond any required minimums. In practice, this means the party can choose to contribute extra funds to a retirement plan, trust, or other financial arrangement at their own discretion, without being obligated to do so on a regular or predetermined basis. This clause provides flexibility for the contributing party to support the plan or arrangement as financial circumstances allow, helping to address funding needs or take advantage of favorable financial conditions.
Discretionary Contributions. During Executive’s employment hereunder, Executive shall be allowed to participate in the Core Laboratories Deferred Compensation Plan (as amended from time to time, the “DCP”). Executive shall be eligible to receive unvested contributions from Company to Executive’s “Employer Discretionary Account” (as defined in the DCP) as described in this Section 2.4(a) during each year that Executive is employed hereunder until Executive reaches the age of 70 years. During the first calendar quarter of each year that Executive is employed hereunder, beginning with the first calendar quarter of 2019, if Company’s return on invested capital (“ROIC”) is within the top 75th percentile among the Bloomberg Peer Group based on the trailing twelve months’ ROIC for Company and each member of the Bloomberg Peer Group as of the end of the third calendar quarter of the immediately preceding year (i.e., for the first calendar quarter of 2019, ROIC for Company and each member of the Bloomberg Peer Group would be measured from the third calendar quarter of 2017 through the third calendar quarter of 2018), as determined by the Supervisory Board of Directors (or a committee thereof) in its sole discretion, Company shall credit Executive’s Employer Discretionary Account with an unvested contribution in an amount equal to 20% of Executive’s base salary as of December 31 of the immediately preceding year (such contribution, a “Discretionary Contribution”). Executive shall cease to be eligible to receive additional Discretionary Contributions to Executive’s Employer Discretionary Account after the date that Executive reaches the age of 70 years. For the avoidance of doubt, each Discretionary Contribution is intended to constitute an “Employer Discretionary Deferral” under the DCP and is in addition to any “Employer Matching Deferral” (as defined in the DCP) that may be made by Company on Executive’s behalf.
Discretionary Contributions. Discretionary Contributions according to a formula, or in an amount, specified by the Plan Sponsor in a Form acceptable to, and subject to rules established by, the Administrator (which may include Discretionary Contributions in a decimal percentage of such Participant’s Compensation and/or in a flat amount per Participant) with respect to a Plan Year Contribution Period that the Plan Sponsor:
(i) declares in writing to the Administrator and its Participants not later than May 1 following such Plan Year (or such other date that is specified by the Administrator); and
(ii) remits to the Administrator by June 15 following such Plan Year (or such other date that is specified by the Administrator and permissible under applicable law and Regulations); subject to the following and any rules established by the Administrator:
(A) if a person was a Participant in the Plan with respect to such Plan Sponsor at some point during such Plan Year but was not a Participant in the Plan with respect to such Plan Sponsor at the end of such Plan Year, then:
(I) such person will receive a pro-rated portion of any such Discretionary Contribution, based on his or her Compensation received for such Plan Year while he or she was a Participant in the Plan with respect to such Plan Sponsor;
(II) the Administrator will reestablish any necessary Accounts in the Plan for such person to the extent necessary (and such person will again become a Participant in the Plan with respect to such Plan Sponsor if such participation had ended); and
(III) if the Participant (or his or her Beneficiary) previously received a distribution of his or her entire Account Balance under the Plan, the Administrator (presuming such Participant still qualifies for a distribution) will distribute the newly established Account Balance to such Participant as soon as is practicable in the same form as the immediately previous distribution (unless such Participant refuses the further distribution at that time); and
(B) Discretionary Contributions will not be made to any person or Participant in excess of the limits in Section 6 and will not be deemed earned to the extent that they exceed the limits in Section 6 for any Limitation Year. Although Discretionary Contributions will be determined annually as described above, a Plan Sponsor may elect Discretionary Contributions on its Adoption Agreement on either an annual basis or an open-ended, evergreen basis (subject to discontinuance as elected by the Plan Sponsor an...
Discretionary Contributions. (a) The Employer □ may / X may not (check one) make additional discretionary contributions to Participants’ Accounts.
(b) Participants shall vest in discretionary contributions on the following basis (check one): □ Immediate, 100% vesting □ Graded vesting at a rate of 20% per year (100% at 5 years) □ Other (please specify an alternative vesting schedule): Note: Under regulations issued by the Internal Revenue Service, contributions, and earnings on these contributions that are subject to a vesting schedule are recognized as contributions to the Plan when these amounts vest. As a result, if an Employer elects to apply a vesting schedule, Participants may be deemed to have impermissible excess contributions to the Plan in the year in which contributions vest if the amounts vested during the year causes an excess deferral for that year. Employers should discuss this issue with independent legal counsel prior to electing to apply a vesting schedule.
(c) The Employer □ will / □ will not (check one) make discretionary contributions for a Participant who dies while in qualified military service pursuant to and in a manner consistent with Code section 414(u)(9). This provision is effective (please specify a date no earlier than January 1, 2007).
(d) The Employer □ will / □ will not (check one) make discretionary contributions for a Participant who becomes disabled while in qualified military service pursuant to and in a manner consistent with Code section 414(u)(9). This provision is effective (please specify a date no earlier than January 1, 2007).
Discretionary Contributions. Stillwater National may make, but is not required by this Plan to make, additional, discretionary contributions to the Plan Account at such times and in such amounts as it may deem appropriate.
Discretionary Contributions. The Company may credit Annual Company Discretionary Amounts for selected Participants. The amounts to be calculated in one of the following manners (select one):
Discretionary Contributions. During Executive’s employment hereunder, Executive shall be allowed to participate in the Core Laboratories Deferred Compensation Plan (as amended from time to time, the “DCP”). Executive shall be eligible to receive unvested contributions from Company to Executive’s “Employer Discretionary Account” (as defined in the DCP) as described in this Section 2.4(a) during each year that Executive is employed hereunder until Executive reaches the age of 70 years. During the first calendar quarter of each year that Executive is employed hereunder, Company shall credit Executive’s Employer Discretionary Account with an unvested contribution in an amount equal to 10% of Executive’s base salary as of January 1 of the immediately preceding year (such contribution, a “Discretionary Contribution”). Executive shall cease to be eligible to receive additional Discretionary Contributions to Executive’s Employer Discretionary Account after the date that Executive reaches the age of 70 years. For the avoidance of doubt, each Discretionary Contribution is intended to constitute an “Employer Discretionary Deferral” under the DCP and is in addition to any “Employer Matching Deferral” (as defined in the DCP) that may be made by Company on Executive’s behalf.
Discretionary Contributions. (i) The Plan Administrator shall determine on a timely basis after the end of a Plan Year whether the Actual Deferral Percentage test results satisfy either of the tests described in Section 3.5(a), as modified by Section 3.6(c). In the event neither test is satisfied, or in the event neither of the tests described in Section 3.6(b), as modified by Section 3.6(c), is satisfied, the Employer may elect to make a "qualified matching contribution" as defined in Treasury Regulation Section 1.401(k)-1(g)(13), referred to herein as a Discretionary Contribution, and to use such contribution to pass such test. Such Discretionary Contribution shall be made with respect to the Plan Year as to which such test was not satisfied.
(ii) The Discretionary Contribution shall first be allocated solely to the Discretionary Contribution Accounts of Nonhighly Compensated Employees whose Pay for the Plan Year was $15,000 or less, who made Deferral Contributions with respect to such Plan Year, and who were Active Participants on the last day of such Plan Year. Such Discretionary Contribution shall be allocated among the group of Participants identified above proportionately on the basis of their Section 414 Compensation for the Plan Year. The amount of any such Discretionary Contribution shall be such that the initially failed test described in (i) above is satisfied, but in no event shall any such Participant receive an allocation of greater than three percent (3%) of the Participant's Section 414 Compensation for the Plan Year.
(iii) In the event that, after making the maximum Discretionary Contribution permitted under (ii) above, the initially failed test described in (i) above is still not satisfied, and the Employer elects to make a further Discretionary Contribution, the process described in (ii) above may be repeated, with the same maximum allocation (i.e., 3% of Section 414 Compensation) in effect, first with respect 15 26 to such Participants whose Pay for the Plan Year was between $15,001 and $20,000, then (if necessary) with respect to such Participants whose Pay for the Plan Year was between $20,001 and $25,000, and finally (if necessary) with respect to such Participants whose Pay for the Plan Year was between $25,001 and $30,000, until the initially failed test is satisfied.
(iv) Any Discretionary Contribution shall be made within the time period required by any applicable laws and regulations. Any Discretionary Contribution allocated pursuant to this subsection (b)...
Discretionary Contributions. Allocation in Proportion to Compensation. If the Employer elects to make Discretionary Contributions, all such Contributions shall be allocated to the Employer Discretionary Account of each Participant entitled to share in the allocation of such Contributions, as of each Valuation Date. Except to the extent otherwise elected by the Employer in the Adoption Agreement, only those Participants who have completed a Year of Service during the Plan Year and who are employed on the last day of the Plan Year shall share in the allocation of Discretionary Contributions for such Plan Year, and then only on the basis of their respective Compensation, unless otherwise elected by the Employer in the Adoption Agreement. The preceding sentence notwithstanding, a Participant who has Separated from Service, during the Plan Year for which a Discretionary Contribution is made, due to retirement, death or Disability, and who is otherwise eligible to receive an allocation of a Discretionary Contribution, shall receive an allocation of the Discretionary Contribution for such Plan Year.
Discretionary Contributions. At the sole discretion of the Administrator, a Discretionary Contribution may be credited to the Participant's SERP Account at any time.