Top-Heavy Plan financial definition of Top-Heavy Plan
Top-heavy (redirected from Top-Heavy Plan)
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Changing the top-heavy plan
rules means fewer key employees and less stringent minimum contribution and benefit requirements.
Under current law, matching contributions made to non-key employees under a top-heavy plan
may be used to satisfy the minimum contribution requirements applicable to such employees.
If you are involved in plan administration, consider using an administrative service agreement that explains the top-heavy rules and consequences of a top-heavy plan