SPECIAL PLAN REQUIREMENTS:TOP-HEAVY PLANS (1 OF 2)
01.Core Concepts
Top Heavy Defined • A defined benefit plan is considered top-heavy when the present value of the total accrued benefits of key employees in the defined benefit plan exceeds 60 percent of the present value of the total accrued benefits of the defined benefit plan for all employees. • A defined contribution plan is top-heavy when the aggregate of the account balances of key employees in the plan exceeds 60 percent of the aggregate of the accounts of all employees. K e yE m p l o y e eD e f i n e d • A greater than five percent owner, or • A greater than one percent owner wi th compensation in excess of $150,000 (not indexed), or • An officer with compensation in excess of $230,000 for 2025. Officer determined based on all facts