For example, a prototype 403(b) plan that allows the adopting employer to choose (in the adoption agreement) a method of allocating non-voting employer contributions that is not a safe harbor based on the design of Section 401(a)(4) of the IRC. There are benefits to adopting early. A 403(b) plan is required to operate in accordance with IRS requirements, even if the plan document has not yet been amended to reflect those requirements. To avoid the confusion that can arise when the rules under which the plan must operate deviate from what is stated in the plan document, an employer will generally want to use the pre-approved document as soon as possible. A volume submission plan is based on an example plan called a sampling plan, which can take the form of a reference document and adoption agreement, just like prototype plans. In the alternative, it may take the form of a single plan document from which all provisions not chosen by the employer are deleted. The latter approach requires more work on the part of the plan sponsor, but may be less confusing for the employer. Although a reference document can be used with multiple acceptance agreements, an acceptance agreement can only be used with one reference document. Each pair of reference documents and adoption agreements is considered a separate 403(b) prototype plan, even if there are multiple investment agreements or suppliers under the plan, and requires a separate application under the pre-approved 403(b) plan program. A model plan may include an adoption agreement, but it is not necessary to have one. If the volume submission plan is designed to include an adoption agreement and may use more than one adoption agreement with the model plan, each model plan and each pair of adoption agreements will be considered a separate 403(b) volume submission plan and will require a separate application under the program. A 403(b)(9) retirement income plan can be either a volume 403(b) application plan or a 403(b) prototype plan.
It cannot be combined with retirement income accounts other than those under section 403(b)(9) and therefore requires a separate model plan. A 403(b)(9) retirement income plan is a 403(b) plan that is only available to certain religious organizations. The IRS will only review the model plan (and adoption agreement, if applicable) as part of the program. Although a receiving employer may include other documents by reference in the volume request plan (p.B.