bobgio
Oct 13 2003, 11:10 AM
what is the loan limit if any for qualified plans?
cannot find guidance on IRS site
Mike Preston
Oct 13 2003, 11:15 AM
Depends on plan document provisions, but typically you can borrow up to 50% of your vested interest in the plan, but not more than $50,000. There is also usually a minimum of $1,000.
Do you have an existing loan? If so, the calculation is a bit more complicated. To determine the limit accurately you need to know:
1) your vested interest in the plan (including your loan balance, if any, to the extent your loan is taken directly from your own account)
2) the highest outstanding loan balance you have had in the last 12 months.