FAQ 276: 401a4--ABT has N/A, ABPT has 0%


Can you please have a look at the attached plan? When we print the Annual Accrual Rates page out of the cross testing printouts, the terminateds with less than 500 hours are included in the NHCE Average. (specifically, the system comes up with 3.19%, instead of 4.25%). Is this correct?


She was looking at the ABPT column and these terminated particpants had 0%, whereas the ABT column had N/A because they had under 500 hours. I explained to her that the ABPT test is for all sources and since they were eligible for deferral and match, they would be in the test. Refer to the 401A4 documentation on our website for more information.