When the hour of service method is used, what does a year of service mean for eligibility purposes?
An individual must be employed twelve (12) months from the original date of hire and work a minimum of 1000 hours during those 12 months. That employee will then be eligible to enter the plan according to the entry dates in the plan document. If the employee does not meet the hours worked requirement, that employee will not become a participant until that requirement is satisfied in a subsequent eligibility period. Subsequent eligibility periods for most plans will be keyed to the plan year rather than the employment anniversary date. 6.
Related Questions
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- When the hour of service method is used, what does a year of service mean for eligibility purposes?
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