rfahey Posted December 7, 2015 Share Posted December 7, 2015 I have a dentist with 3 employees who has a SAR SEP plan. He can only defer 125% of the average deferral of his 3 employees I believe. In 2014 he was allowed to defer 5.38% based on this test. He is self employed for taxes. My question is what his wife is allowed to defer (%) now that she is eligible on 1/1/16. Can she max out her salary deferrals up to the IRS limit for 2016? Or is she limited by the ADP test since she is the spouse of the owner ? What can she contribute for 2016 ? Thank you !! The fund companies do not have answers to these kind of questions. Link to comment Share on other sites More sharing options...
Lou S. Posted December 7, 2015 Share Posted December 7, 2015 She is an HCE subject to the deferral limits on HCEs in a SAR-SEP Link to comment Share on other sites More sharing options...
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