Some friends of mine work for a CA employer that has a 3-person group and will add a 401-k effective January 1. CA requires that more than 50% of enrollees reside in CA else the group terms. They meet the residence requirement because 2 out of the 3 live in CA.
There is another person currently receiving 1099 income that lives in another state and wants to be eligible for the 401k but has other medical coverage. The addition of this person to medical coverage would violate the 51% requirement.
How does this 1099 person switch to W-2 for the 401K and not trash the medical?
There is another person currently receiving 1099 income that lives in another state and wants to be eligible for the 401k but has other medical coverage. The addition of this person to medical coverage would violate the 51% requirement.
How does this 1099 person switch to W-2 for the 401K and not trash the medical?