Nondiscrimination rule

(redirected from Non-Discrimination Rules)

Nondiscrimination Rule

A provision of ERISA that requires employer-sponsored retirement plans to offer the same benefits in the same plans to all employees regardless of position in the company. That is, the nondiscrimination rule forbids employees of different rank from buying into the same plan and receiving different benefits. This protects both low income and high income employees. Plans violating the nondiscrimination rule are not tax deductible.

Nondiscrimination rule.

All qualified retirement plans, including 401(k) plans, must follow nondiscrimination rules. Among other things, the rules prevent highly paid employees from receiving more generous benefits than other employees.

However, employers may offer nonqualified plans to which antidiscrimination rules don't apply. Unlike contributions to qualified plans, contributions to nonqualified plans are not tax deductible.

References in periodicals archive ?
Moreover, the wholesale broadband access product is the only regulated offer on Telefonica's fibre network and the Spanish regulator does not plan to impose other competition safeguards such as stricter non-discrimination rules.
Ensuring compliance with ACA's non-discrimination rules regarding favoring highly compensated employees in benefits offered,
However, the Equality Act 2010 requires occupational pension schemes to have non-discrimination rules read into them (if they aren't there already).
Topics include: the concept and history of non-discrimination rules, most-favored nation treatment, national treatment, general and specific exceptions, enforcement and conservation measures, and more.
It seems that net neutrality advocates like the idea of using the cable non-discrimination rules as a template for net neutrality.
These commitments will then be extended to all member countries under the WTO's normal non-discrimination rules.
The plans require a significant amount of administrative effort to comply with, among other things, non-discrimination rules.
During a discussion of HIPAA non-discrimination rules applying to high deductible health plans, McFarland addressed how employers and insurers may integrate "bona fide wellness programs" such as SimplyWell's Population Health Management (PHM) applications into their group health plan designs.
Non-discrimination rules -- These prohibit a plan from basing enrollment in the group health plan on an individual's health status; they also require the elimination of provisions that required late enrollees to provide evidence of good health prior to obtaining coverage or plan participants to be actively at work for coverage to go into effect.
T]his favorable tax treatment was never intended for non-qualified deferred compensation arrangements which are generally for high paid individuals and not subject to non-discrimination rules to protect employees at all income levels.
The task force proposal has the double value of providing additional revenue for the federal government and being a substitute for non-discrimination rules.
Effective for years beginning after December 31, 1988, a new series of the code section 89 non-discrimination rules will apply to all employee welfare benefit plans, such as medical, dental, accident, and group life.