I have a question regarding the status of an HCE in 2005 versus the status in a short plan year.
From 07-01-03 thru 06/30-04 a participant had compensation in excess of $100,000.
The plan then went to a short plan year from 07-01-04 thru 12-31-04 and that same participant did not have
compensation in excess of $90,000 for that period.
He has never been an owner.
Because his compensation in the short plan year was not in excess of $90,000 my question is "Is he considered an HCE for 2005? For the calander year of 2005, he had compensation in excess of $100,000.
Thanks for your help