Open Access. Powered by Scholars. Published by Universities.®
Management Sciences and Quantitative Methods Commons™
Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 1 of 1
Full-Text Articles in Management Sciences and Quantitative Methods
Cross-Tested Defined Contribution Plans, Ho Kuen Ng
Cross-Tested Defined Contribution Plans, Ho Kuen Ng
Journal of Actuarial Practice (1993-2006)
Cross-tested plans are defined contribution plans that test allocations for nondiscrimination. The test is based on a plan's actuarial equivalent annuity benefits. Cross-tested plans have become popular among small plan sponsors after the release of the nondiscrimination regulations. This paper investigates the pros and cons of cross-testing.