Cash or Deferred Arrangement
(CODA) Listing of Required
Modifications and Information
Package
IRS
Department of the Treasury
Internal Revenue Service
Publication 3199 (10-1998)
Catalog Number 26723G
www.i rs.ustreas.gov
Table of Contents -- CODA
1. ADOPTION STATEMENT . . . . . . . . . . . . . . . . . . . 3
2. PARTICIPATION AND COVERAGE [Code §§ 401(k)(2)(D) and
. . . . . . . . . . . . . . . . . . . . . . . . . . 3
3. ELECTIVE DEFERRALS [Code § 401(k)] . . . . . . . . . . . 3
4. ELECTIVE DEFERRALS--CONTRIBUTION LIMITATION . . . . . . . 4
5. DISTRIBUTION OF EXCESS ELECTIVE DEFERRALS . . . . . . . . 4
6. ACTUAL DEFERRAL PERCENTAGE TEST . . . . . . . . . . . . 6
7. DISTRIBUTION OF EXCESS CONTRIBUTIONS . . . . . . . . 10
8. RECHARACTERIZATION . . . . . . . . . . . . . . . . . . 12
9. MATCHING CONTRIBUTIONS . . . . . . . . . . . . . . . . 13
10. FORFEITURES AND VESTING OF MATCHING CONTRIBUTIONS . . . 13
11. QUALIFIED MATCHING CONTRIBUTIONS . . . . . . . . . 14
12. LIMITATIONS ON EMPLOYEE CONTRIBUTIONS AND MATCHING
CONTRIBUTIONS . . . . . . . . . . . . . . . . 15
13. DISTRIBUTION OF EXCESS AGGREGATE CONTRIBUTIONS . . . . 20
14. QUALIFIED NON-ELECTIVE CONTRIBUTIONS . . . . . . . . . 23
15. NONFORFEITABILITY AND VESTING . . . . . . . . . . . . 25
16. DISTRIBUTION REQUIREMENTS . . . . . . . . . . . . . . 25
17. HARDSHIP DISTRIBUTIONS . . . . . . . . . . . . . . . 27
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Cash or Deferred Arrangement (CODA)
Listing of Required Modifications and Information Package
(LRMs)
(For use with master or prototype plans intending to satisfy
the requirements of Code §§ 401(k) and 401(m))
This information package contains samples of plan provisions
that satisfy certain specific requirements of the Internal
Revenue Code, as amended through the Taxpayer Relief Act of
1997 (P.L. 105-34), that are effective no later than plan
years beginning in 1998. Such language may or may not be
acceptable in specific plans, depending on the context.
Since a qualified CODA must be part of a defined
contribution plan meeting t