401K Company Match for High Earners and Accelerated Contributions
We have a company 401K match program that is pretty straight forward. 75% of the first 6%. The concern we are running into is related to high earners and individuals that accelerate their individual contributions and max out the 18,500 before the maximum benefit of the match would have ended. As this is processed by pay period, how do we set it up so the match considers the first 6% annually and provides a true up or a continued match without a employee contribution until the max is reached.
Currently our set up:
2001 - EE Deduction 1-6% Basis 1 through 999 Group Limit Code 1 18,500
2002 - EE Deduction 7%+ Basis 1 through 999 Group Limit Code 1 18,500