If you have a safe harbor noelective 3% plan, can you exclude certain categories of participants (e.g., associates in a law firm or some other classification of employees)? If so, can you provide a citation in the regs for this point?

The only way you could do that is to exclude them from being eligible to defer (and pass 410(b) with those exclusions). The only employees who are eligible to defer that may be excluded from the Safe Harbor Nonelective are HCEs and those employees who are less than 21 & 1.


Good Luck!