402 (G) limit for 2007

[doombuggy]

Anybody know if this has come out yet? I have a client asking me, since they are an off plan year.

I am thinking the answer is that we won't hear until the fall, but I wanted to make sure......

[JanetM]

Under EGTRRA the 2007 amount will be the adjusted by cost-of-living increases in $500 dollar increments. Doubt we will know the amount until late October or November.

[Tom Poje]

if I understand things correctly, and that is a big if, you have the following:

CPI-U for July - Aug - Sept 2005

195.4 + 196.4 + 198.8 = 590.6

you would then take then values for July - Aug - Sept 2006

lets say they are 203.5 + 203.5 + 203.5 = 610.50

610.5 / 590.6 * 15000 = 15,505.42

increase is in increments of 500, so the new deferral amount would be 15,500.

the CPI-U value for May was 202.5

based on last years data, chances are good the limit would increase. based on years prior to last year it will be real close.

the rates are released around the middle of each month - the web site is here:

I am confused. how come the cute cat picture appears on both posts?

http://data.bls.gov/cgi-bin/surveymost?cu

you check the first box, scroll to the bottom and retrieve the data.

I think there is 10 years worth of data.

now, the rest of the story....

I had written an article many moons ago on how increases were determined.

someone took that info and built an excel sheet which he sent me and I have been using that for a few years now - it has yet to fail, though of course since this is the first time for an adjustment to the deferral limit I might have done something wrong. By the way, based on the numbers, the 415 limit will be 45,000.

what a sad pathetic numbers freak I have turned out to be.

[jevd]

But you keep us informed and entertained with your Friday Puzzles

I better get some work done today before I go on vacation.

Thanks again Tom for all.

[doombuggy]

Thanks for the feedback; I have passed this on to the investment advisor who asked me.

I guess JanetM & I both like kitties. My new kitty looks like the one in the avitar, so......

but he's a licker (worse than a dog) and he likes to sit up on his hind legs, which is why he's like the gopher in "Caddyshack."

And yes, Tom, FL is the land of hot humid summers, AND I heard on the news over the weekend that when you factor in the heat & humidy, Orlando is the #3 hottest place in the US, behind Miami (#1) and some other place in #2. Boy did I pick the wrong place to live!

Thanks again, folks!

[JanetM]

Yes Doombuggy we both like cats. Mine is 14 years old next week, has extra toes on each foot, weights in at about 18.5 lbs. Part Maine Coon............. have hauled his fuzzy but all over the world with me.

OMG you did pick a hot place to live. We have been having a heat wave in Denver lately, but thank goodness we don't have humid weather.

[KTB]

Just thought I would let everyone know that I just found out the 2007 COLA will be out October 18th.