Alternate Formula Sample Clauses
The Alternate Formula clause establishes an alternative method for calculating a specific value or obligation within a contract, differing from the standard or default formula. In practice, this clause may apply to situations such as determining payment amounts, interest rates, or damages, where the parties agree to use a different calculation method under certain conditions or scenarios. Its core function is to provide flexibility and clarity by predefining how calculations should be adjusted if the usual formula is not suitable, thereby reducing disputes and ensuring both parties understand how their obligations will be determined in various circumstances.
Alternate Formula. Each Plan Sponsor electing the Alternate Formula will compute and make Qualified Non-Elective Contributions on behalf of each of its Participants who qualify under Sections 4.1 and 4.2 in an amount specified in the Adoption Agreement in excess of three percent of such Participant’s Compensation for each payroll period, regardless of whether or not such Participants make Before-Tax Contributions and/or ▇▇▇▇ Contributions.
Alternate Formula. Each Plan Sponsor electing the Alternate Formula will compute and make a Qualified Matching Contribution for each Match Period based on an alternate matching formula specified in the Adoption Agreement in accordance with which:
(A) the aggregate amount of Qualified Matching Contributions at least equals that of the Standard Formula above,
(B) the rate of Qualified Matching Contributions does not increase as the Participant’s contributions increase, e.g., the Plan Sponsor cannot match at a 50% rate on the first x% of Compensation and 100% on the next y% of Compensation, and
(C) Qualified Matching Contributions are not awarded in excess of the first six percent of Compensation.
Alternate Formula. The employer makes a contribution of % (specify an amount greater than 3%) of compensation for each employee. The employee is not required to make a contribution.