In a preliminary ADP test, it was clear that one HCE would have an excess contribution of over $6,000. May the excess contribution be refunded during the current plan year? Or must the participant wait until the actual ADP test is run after the plan year closes?
Rev. 12/15/05, E-mail Alert 2005-25

Treasury regulations state that ADP corrections (1.401(k)-2(b)(2)(v)) and ACP corrections (1.401(m)-2(b)(2)(v)) must be made after the close of the current plan year. There is an exception for an HCE who is receiving his or her entire plan balance during the current plan year.