Eligibility

Question 1

Excluded Employees

Answer 1

Segmented employees specified in the Adoption Agreement (AA) who will never be permitted to participate in the Plan.

Question 2

Participant

Answer 2

An eligible employee who is covered by a retirement plan

Question 3

Employee

Answer 3

Any person working for and paid by a company

Question 4

Eligibility/Eligible

Answer 4

Has met the specifications outlined in the Adoption Agreement (AA) surrounding time with the company to be able to start deferring on the Plan Entry Date

Question 5

Plan Entry Date

Answer 5

The specified date in the Adoption Agreement (AA) where eligible employees can actually begin deferring money into the 401(k) Plan

Question 6

Deferral

Answer 6

Money that comes from your paycheck and is deposited into the corporation’s 401(k) Plan

Question 7

Contributions

Answer 7

Any employee or employer deposits made into the Plan.

Question 8

Union Employee

Answer 8

an employee belonging to a labor union that represents the collective interests of workers in negotiations with employers; typically, they offer their own retirement plan to union employees

Question 9

Non-resident Alien

Answer 9

someone who is not a U.S. Citizen, U.S. National, or has not passed the green card test or substantial present test; does not have to be offered the plan

Question 10

Highly Compensated Employee(s)

Answer 10

Any employee who owns more than 5% of the company regardless of how much in compensation they earned (all Guidant clients are considered HCES). OR someone who received more than a particular amount in compensation as defined by the IRS

Question 11

Leased Employee(s)

Answer 11

Employees employed by a leasing organization while performing services for a recipient employer.

Question 12

Part-time or Seasonal Employee(s)

Answer 12

an employee who works less than a specified amount of time annually for an employer.

Question 13

Employer Match Contributions

Answer 13

When your employer contributes a certain amount to your retirement account based on the amount of your annual contributions/deferrals

Question 14

Profit-Sharing Contribution

Answer 14

An amount defined by the employer to be paid out to all employees based on profits of the organization each year.

Question 15

What is Guidant’s default election for eligibility conditions?

Answer 15

Age 21; 1 year & 1,000 hours

Question 16

What is Guidant’s default election for Entry Date?

Answer 16

First day of the Plan Year quarter coinciding with or next following date requirements met