Plan forfeitures held in a plan's suspense account must be used or allocated in the plan year the forfeitures incurred. The IRS has made it clear that no forfeitures in a suspense account should remain unallocated beyond the end of the plan year in which they occurred and no forfeiture should be carried into a sequent plan year. If a suspense account is used, plan sponsors must ensure that all forfeitures for the plan year are promptly used according to the plan's terms before the end of the plan year.