Can the safe harbor match count towards the gateway minimum? I know this should be an easy question, but I couldn't find a thread referencing and all of my cross-tested clients, to date, were using the SHNEC and are top heavy...I seem to remember something about 'non-electives' being counted, so I thought maybe the SHMAC doesn't. Any help appreciated.

I'm sure Tom could give you the cites for the regulations, but here is my attempt to answer your question:

No. Gateway contributions must be under 401(a) and match is under 401(m)(?). If you had a 3% SHNEC, this could be used for gateway/avg bens purposes (but if your HCE had more than a 9% contrib, you would have to give an additional contrib for gateway using the lesser of 1/3 or 5% rule).

Your match would help with the average benefits test, though!

Vicki

oooh. you are nasty. thinking I have all the safe harbor regs memorized.
though this must have come up, or I probably even had it in my presentation, but I have the cite listed in the margin
1.401(k)-3(h)(2)

and to clarify, the SHMAC would be used in the avg ben PCT test portion of the avg ben test. whether it helps or hurts is another matter.

Tom,

trust me, it's a complement.

BTW, thought your presentation at ASPPA was great, especially your song

now you make me turn even more red

my biggest regret is that I never get a chance to meet some of the wonderful people who use Benefits Link.