Average Contribution Percentage definition

Average Contribution Percentage means the average of the Contribution Percentages of the Eligible Participants in a group.

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Average Contribution Percentage or "ACP" shall mean the average of the Contribution Percentages of the Eligible Participants in a group.

Average Contribution Percentage means the average (expressed as a percentage) of the Contribution Percentages of a group.

Examples of Average Contribution Percentage in a sentence

• Under each of these tests, the Average Deferral Percentage (ADP) and the Average Contribution Percentage (ACP) for Highly Compensated Employees may not exceed the ADP and ACP for Non-Highly Compensated Employees by more than the amount permitted by application of the basic limit or the alternative limit.

• With respect to each Plan Year, an Employer’s Plan which offers a Code Section 401(k) cash or deferred arrangement and any contributions made thereunder must satisfy the Average Deferral Percentage Test (“ADP Test”) and, if applicable, the Average Contribution Percentage Test (“ACP Test”).

• The Average Actual Deferral Percentage and Average Contribution Percentage of the Highly Compensated Employees are determined after any corrections required to meet the Average Actual Deferral Percentage and Average Contribution Percentage tests.

• In lieu of reducing the applicable average for the Highly Compensated Employees, the Employer may elect to make an additional Qualified Non-Elective Contribution (QNEC) and/or a Qualified Matching Contribution (QMAC) for Non-Highly Compensated Employees to increase their Average Deferral Percentage and/or Average Contribution Percentage to the point where the Plan satisfies the ADP and/or the ACP Test.

• The Employer may make a Qualified Non-Elective Contribution (QNEC) or Qualified Matching Contribution (QMAC) for Non-Highly Compensated Employees (whether or not so designated in the Adoption Agreement) to increase the Average Deferral Percentage and/or Average Contribution Percentage to the point where the Plan passes the ADP Test and/or the ACP Test.

More Definitions of Average Contribution Percentage

Average Contribution Percentage means, for the group of Eligible Employees who are Highly Compensated Employees for a Plan Year or the group of Eligible Employees who are Non-Highly Compensated Employees for the Plan Year, the average of the Contribution Percentages of all Eligible Employees in such group for the Plan Year.

Average Contribution Percentage means, for a specified group of Eligible Employees for a Plan Year, the average of the Contribution Percentages for such Eligible Employees for the Plan Year.

Average Contribution Percentage means the average (expressed as a percentage) of the Contribution Percentages of the Eligible Employees in a group.

Average Contribution Percentage means the average of the Contribution Percentages of the Employees in a group who are eligible to make Participant Voluntary Contributions, or Elective Deferrals (if the Employer takes such contributions into account in the calculation of the Contribution Percentage), or to receive Matching Contributions (including forfeitures) or Qualified Matching Contributions.

Average Contribution Percentage means, for a specified group of Early Entry Eligible Employees for a Plan Year, the average of the Contribution Percentages for such Early Entry Eligible Employees for the Plan Year.

Average Contribution Percentage. For any group of Eligible Participants, the average (expressed as a percentage) of the Contribution Percentages for each of the Participants in that group, including those on whose behalf Matching 401(k) Contributions and/or Matching Thrift Contributions, if applicable, are not being made.

Average Contribution Percentage means, with respect to a group of Eligible Employees for a Plan Year, the average of the Contribution Percentage, calculated separately for each Eligible Employee in such group.