Paired plans; if you have both a profit-sharing plan and a money purchase plan, even if you do not make any contributions to the profit-sharing plan, does a limit remain for the money purchase plan, and if so, what percentage does that limit stand at?
If not inconvenient, please give a specific reference for this.
QUOTE (Enda80 @ Dec 12 2008, 08:33 PM) 
Paired plans; if you have both a profit-sharing plan and a money purchase plan, even if you do not make any contributions to the profit-sharing plan, does a limit remain for the money purchase plan, and if so, what percentage does that limit stand at?
If not inconvenient, please give a specific reference for this.
If not inconvenient, please give a specific reference for this.
The deduction limit for money purchase plans is 25% of covered payroll; the same as profit sharing or paired plans.
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