We have a PS plan where we are using accrued-to-date for 401(a)(4). One participant reached NRA and took an in-service distribution of all but $10,000 of his account back 3 years ago. I assume we need to add back his distribution to his balance when testing correct?

Thanks much

You can ignore NHCE distributions if you wish. You can ignore any distributions made before a chosen date that is not later than 1/1/86.

1.401(a)(4)-(8)(b)(2)(ii)(A)