Common use of Elective Deferrals Clause in Contracts

Elective Deferrals. May Be Disallowed You are not required to make elective deferrals to this SEP-▇▇▇. However, if more than half of your employer's eligible employees choose not to make elective deferrals in a particular year, then no employee may participate in your employer's elective SEP for that year. If you make elective deferrals during a year in which this happens, then your deferrals for that year will be "disallowed," and the deferrals will be considered ordinary ▇▇▇ contributions (which may be excess ▇▇▇ contributions) rather than SEP-▇▇▇ contributions.

Elective Deferrals. May Be Disallowed You are not required to make elective deferrals to this SEP-▇▇▇SEP-IRA. However, if more than th▇▇ half of your employer's eligible employees choose not to make elective deferrals in a particular year, then no employee may participate in your employer's elective SEP for that year. If you make elective deferrals during a year in which this happens, then your deferrals for that year will be "disallowed," and the deferrals will be considered ordinary ▇▇▇ IRA contributions (which may ▇▇y be excess ▇▇▇ IRA contributions) rather than SEP-SE▇-▇▇ RA contributions.