I have a client who has income from his law practice. He also has director income from somewhere else - not in any way related. Is he allowed to receive an allocation of $44,000 from both incomes?

IRC 415 is an employer limit. Be careful, as IRC 402(g) Limit for deferrals is for the individual person.

Below Ground, you didn't answer the question.

If the director's plan is sponsored by the company for which he is a director, yes. If he sponsors the plan himself as a sole prop, then no because there is a controlled group based on the information given.

Doesn't it depend on how he is paid? If its reported on a W2 then I believe he could participate in the company's plan. But if its reported on a 1099 he can't participate.

What "director's plan"?

Sorry. Thought I answered the question. The OP said 2 firms that are "not in any way related". OP also said he gets paid as a director for one firm (an employee), and has a law practice (owner). That lead me to believe that you have two separate unrelated employers which person works for which could sponsor plans; hence, my statement that the $44K is an employer limit. Regardless, I can see why my answer might not be a clear answer, so sorry.

To answer several points - one a director MAY be an employee, but in this case as described, the person is serving as an outside director (my interpretation). Obviously in this business we live on the details and we don't have all of the information here.

Second, an employer is permitted to sponsor a plan for directors and/or permit directors to be in a plan they sponsor. Trick is director must be paid on W-2 and again, we don't have that information. Therefore I gave the answer 2 ways.

I didn't go to ASGs because the businesses were 'unrelated', but we never pursued who the person was lawyering for!

We are all guilty of making assumptions based on incomplete information. Shame on us.

Agreed 100%!