ACP Limit Sample Clauses
The ACP Limit clause sets a maximum cap on the amount that can be claimed or paid under an agreement, typically in relation to aggregate claims or liabilities. In practice, this clause specifies a fixed monetary threshold or a formula for calculating the limit, and it applies to all claims arising from the contract, such as indemnities or damages. Its core function is to allocate and manage financial risk between the parties by ensuring that potential liabilities are predictable and do not exceed an agreed-upon amount.
ACP Limit. The ACP for Participants who are Highly Compensated Employees for any Plan Year shall not exceed
ACP Limit. 4.10(C)(1)
(A) ACR (actual contribution ratio). 4.10(C)(5)(a) Actual Method. 1.31(A)(1) Actuarial Factor. 3.04(B)(5)(b) Additional Matching Contribution. 1.34(G), 3.05(F)(1). Ad-Hoc. 6.03(A)(6) Administrative Checklist. 7.02(C)(2)
ACP Limit. (a) The Average Actual Contribution Percentage for Eligible Employees who are Highly Compensated Employees for the Plan Year shall not exceed the greater of:
(1) the Average Actual Contribution Percentage for Eligible Employees who are Nonhighly Compensated Employees for the Plan Year multiplied by 1.25; or Index
(2) the lesser of: (A) the Average Actual Contribution Percentage for Eligible Employees who are Nonhighly Compensated Employees for the Plan Year multiplied by 2.00; or (B) the Average Actual Contribution Percentage for Eligible Employees who are Nonhighly Compensated Employees for the Plan Year plus 2 percentage points.
(b) The Actual Contribution Percentage for any Eligible Employee who is a Highly Compensated Employee for the Plan Year and who is eligible to participate in two or more plans of the Employer to which matching employer contributions, employee after-tax contributions, or both, are made, shall be determined by aggregating all such contributions on behalf of such Highly Compensated Employee. If two or more plans of the Employer are permissively aggregated for purposes of Section 401(m) of the Code, the aggregated plans must also satisfy Section 401(a)(4) and 410(b) of the Code as though they were a single plan. If one or more plans of an Employer are aggregated with the Fund for purposes of satisfying the requirements of Section 401(a)(4) or 410(b) of the Code, the Actual Contribution Percentages under the Fund shall be calculated as if the Fund and such one or more other plans were a single plan.
(c) For purposes of applying the ACP Limit, Testing Compensation shall be computed on an entire Plan Year basis and Testing Compensation shall be with reference to the current Plan Year at the time the ACP Limit is applied. Reductions and increases made to satisfy such limits shall not affect persons who are not then Eligible Employees. Where limits are computed prior to the end of a Plan Year, the Plan Administrator may estimate or project Testing Compensation. The Plan Administrator may elect to include in a person’s Testing Compensation only compensation received while such person was an Eligible Employee, provided the election is applied uniformly to all Eligible Employees for the Plan Year.
(d) Except for purposes of determining Highly Compensated Employees and Nonhighly Compensated Employees, the portion of the Fund that benefits Employees who are included in a unit of employees covered by a collective bargaining agreement is treated...
ACP Limit. For any Plan Year, the Committee shall have the right to limit or reduce the Matching Contributions allocable to the Participants who are Highly Compensated Employees in order to insure that the Actual Contribution Percentage Limit under Code Section 401(m) (hereinafter “ACP Limit”) is not exceeded. The ACP Limit is equal to the greater of the Limit 1 or Limit 2:
Limit 1: The Actual Contribution Percentage for the Plan Year of the Highly Compensated Employees may not exceed one hundred twenty-five percent (125%) of the Actual Contribution Percentage for the previous Plan Year of all other Participants; or
Limit 2: The Actual Contribution Percentage for the Plan Year of the Highly Compensated Participants may not exceed the lesser of:
(a) The Actual Contribution Percentage for the previous Plan Year of all other Participants, plus two percent (2%), or
(b) The Actual Contribution Percentage for the previous Plan Year of all other Participants, multiplied by two hundred percent (200%). Actual Contribution Percentage (“ACP”) with respect to any specific group of Participants for a Plan Year shall mean the average of the ratios (calculated separately for each Participant in such group) of (A) the amount of Matching Contributions paid into the Trust Fund on behalf of each Participant for such Plan Year to (B) the Participant’s Adjusted Compensation for such Plan Year (such ratio hereinafter referred to as “ACR”). A Participant’s Matching Contributions are to be taken into account if they are paid to the Trust during the Plan Year or are paid to an agent of the Plan and are transmitted to the Trust within a reasonable period after the end of the Plan Year. In the case of a Participant who has no Matching Contributions, the ACP is considered to be zero. In the case of a Highly Compensated Employee who is eligible to have Matching Contributions paid in to a trust fund to his or her account under two or more plans maintained by the Employer, the ACP shall be determined as if all such Matching Contributions were made under a single arrangement. For purposes of determining whether a plan satisfies the ACP Limit, all Matching Contributions that are made under two or more plans that are aggregated for purposes of Sections 401(a)(4) or 410(b) (other than Section 410(b)(2)(A)(ii)) are to be treated as made under a single plan. If two or more plans are permissively aggregated for purposes of Section 401(k), the aggregated plans must also satisfy Sections 401(a)(4) and 410(...