I am aware that the combined deductibility limit for a combined money purchase plan and profit sharing plan arrangement is generally 25%. Here's my question.

The Code also says that the deduction by a company of its money purchase contribution is the "full funding limit." Say for example we have a 5% of pay money purchase plan formula, and also have a profit sharing plan. The profit sharing plan has a 401(k) feature.

Is the maximum deduction allowed 20% (5% MPPP + standard 15% deduction for PS plan) or is it 25%. The idea would be to fund a 5% of pay MPPP contribution, and make up the add'l 20% by virtue of deferral and profit sharing and match? Can this be done?

Thank you for your help!

20% - the Profit Sharing deduction is 15%, the MPPP is the 412 minimum funding requirment, the two together can not exceed 25% (so if your MPPP is 20%, you lose on the PS, but if your MPPP is less than 10% you don't get more on the PS side.)