ADP Testing 401(k): Avoid Penalties, Stay Compliant
Navigating the complexities of 401(k) plans can be daunting, especially when it comes to ADP (Actual Deferral Percentage) and ACP (Actual Contribution Percentage) testing. These tests are crucial for ensuring your retirement plan is fair to all employees and avoids hefty IRS penalties. This guide provides a step-by-step approach to understanding and successfully navigating these tests. Failing to comply can result in significant financial repercussions, making understanding this process critical for both your company and your employees....