Qualified Matching Clause Samples
The Qualified Matching clause defines the criteria and process by which certain items, transactions, or obligations are matched or paired based on predefined qualifications. In practice, this clause sets out specific standards or requirements that must be met for a match to be considered valid, such as matching invoices to purchase orders only if they meet certain value thresholds or documentation standards. Its core function is to ensure that only appropriate and properly vetted matches are recognized, thereby reducing errors, preventing fraud, and ensuring compliance with contractual or regulatory requirements.
Qualified Matching. CONTRIBUTIONS If selected below, the Employer may make Qualified Matching Contributions for each Plan Year (select all those applicable): (1) In its discretion, the Employer may make Qualified Matching Contributions on behalf of (select one): [ ] (a) all Participants who make Elective Deferrals in that Plan Year. [x] (b) only those Participants who are Nonhighly Compensated Employees and who make Elective Deferrals for that Plan Year.
Qualified Matching. Contributions (QMACs): [Note: Regardless of any elections under this #18, the Employer may make a QMAC to the Plan to correct a failed ADP or ACP Test, as authorized under Sections 17.2(d) (2) and 17.3(d) (2) of the BPD. Any QMAC allocated to correct the ADP or A CP Test which is not specifically authorized under this #18 will be allocated to all Eligible Participants who are Nonhighly Compensated Employees as a uniform percentage of Section 401(k) Deferrals made during the Plan Year. See Section 2.3(c) of the BPD.]
a. All Employer Matching Contributions are designated as QMACs. [ ] b. Only Employer Matching Contributions described in selection(s) under #16 above are designated as QMACs.
c. In addition to any Employer Matching Contribution provided under #16 above, the Employer may make a discretionary QMAC that is allocated equally as a percentage of Section 401(k) Deferrals made during the Plan Year. The Employer may allocate QMACs only on Section 401(k) Deferrals that do not exceed a specific dollar amount or a percentage of Included Compensation that is uniformly determined by the Employer. QMACs will be allocated to:
(1) Eligible Participants who are Nonhighly Compensated Employees. [ ] (2) all Eligible Participants.
Qualified Matching. CONTRIBUTION Matching Contributions which when made are subject to the distribution and nonforfeitability requirements under Code Section 401(k).
Qualified Matching. Contributions (QMACs)
Qualified Matching. Contributions -------------------------------- If selected below, the Employer may make Qualified Matching Contributions for each Plan Year (select all those applicable):
(1) In its discretion, the Employer may make Qualified Matching Contributions on behalf of (select one): [ ] (a) all Participants who make Elective Deferrals in that Plan Year. [X] (b) only those Participants who are Nonhighly Compensated Employees and who make Elective Deferrals for that Plan Year.
(2) Qualified Matching Contributions will be contributed and allocated to each Participant in an amount equal to (select one): [X] (b) Such an amount, determined by the Employer, which is needed to meet the ACP Test.
(3) In its discretion, the Employer may elect to designate all or any part of Matching 401(k) Contributions as Qualified Matching Contributions that are taken into account as Elective Deferrals -- included in the ADP Test and excluded from the ACP Test -- on behalf of (select one): [ ] (a) all Participants who make Elective Deferrals for that Plan Year. [X] (b) Only Participants who are Nonhighly Compensated Employees who make Elective Deferrals for that Plan Year.
Qualified Matching. Contributions (QMACs): [Note: Regardless of any elections under this #18, the Employer may make a QMAC to the Plan to correct a failed ADP or ACP Test, as authorized under Sections 17.2(d)(2) and 17.3(d)(2) of the BPD. Any QMAC allocated to correct the ADP or ACP Test which is not specifically authorized under this #18 will be allocated to all Eligible Participants who are Nonhighly Compensated Employees as a uniform percentage of Section 401(k) Deferrals made during the Plan Year. See Section 2.3(c) of the BPD.]
Qualified Matching. Contributions means the Employer Matching Contributions to the Plan that are subject to the restrictions on withdrawals set forth in Section 7.13(b), and are immediately nonforfeitable and 100% vested upon contribution, regardless of the age and service of the Employee or whether the Employee is employed on a specific date, and are made pursuant to Section 3.11. Nonelective Contributions and/or Matching Contributions maybe treated as elective contributions only if the conditions described in section 1.401(k)-1(b)(5) and section 1.401(m)-1(b)(5) of the Regulations are satisfied.