### Question
How does Special Rules define top-heavy group?


### Answer
Under *26 U.S.C. § 416*, **top-heavy group** is defined as:

> any aggregation group if—


(i) the sum (as of the determination date) of—


(I) the present value of the cumulative accrued benefits for key employees under all defined benefit plans included in such group, and


(II) the aggregate of the accounts of key employees under all defined contribution plans included in such group,


  

(ii) exceeds 60 percent of a similar sum determined for all employees

#### Citation:
  - *26 U.S.C. § 416*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter D-Deferred Compensation, Etc. > PART I-PENSION, PROFIT-SHARING, STOCK BONUS PLANS, ETC. > Subpart B-Special Rules**

