Govenment regulation - 1000 hour look back
My question relates to the government regulation regarding the 1000 hour look back rule for an employee who is in an employment category that works < 1000 hours. Subsequently the employee accumulates more than 1000 hours in a rolling 12 month period which makes them eligible for the qualified plan such as a 401k plan.
In our case, an employee is eligible to enroll on 1/1 or 7/1 after they reach their 1000 hours. The 1000 hours can occur in the middle of a payroll period where it would cross over the month(s) that the employee should become eligible in.