We have a prospect client that is looking to change their (discretionary) match and (discretionary) profit sharing allocation formulas. How much notice is required to the participants? Is it 30 days prior to effective date?

As always, thanks in advance for your wealth of knowledge!

There is no requirement to notice participants as to changes in PS or Match.

It is a good idea, however, to ensure that should a participant have a course of action they might like to see implemented in light of the change that the participant has ample opportunity to do so. For example, if the match is being reduced, it would be good employee relations to allow the participant to modify his/her deferral election in light of the match reduction.

Of course, the above assumes that the plan doesn't have an obligation to maintain either the PS allocation methodology or the matching promise under the terms of the plan. I am assuming that the document, 411(d)(6), etc. don't create some form of impediment to changing the PS or the Match.

If the discretionary match amount is specified in the SPD, a SMM would be required. As already pointed out, it is simply good policy to make participants aware of changes to the match formula as many make their deferral decisions based on that information.