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I probably won't even ask the question right, but here goes, using, as you will see, grossly hypothetical numbers just for the sake of illustrating the concept. I'm used to exposing my ignorance when it comes to DB calculations. Suppose you have a sole prop, who had a defined benefit plan that was terminated in, say, 1999. At the time, his income was much highr than now, and he had accrued a benefit that was close to the 415 limit. Let's just say that his 415 limit at the time was 1,000 per month, or $12,000 per year, which equated to a lump sum of $100,000. His accrued benefit was $950 per month, or $11,400 per year, leaving him under the 415 limit by $50 per month, or $600 per year, and his lump sum payout was $95,000. This $95,000 lump sum amount was paid to him and rolled to an IRA. Now fast-forward to 2013. He is still a sole prop, and has to be considered in a DB plan due to controlled group/minimum participation. His salary is now quite low. When calculating his 415 limit under the new plan, I know that the old plan must be taken into account for 415 purposes. If the new plan 415 limit, (assuming he never had a prior plan) based upon age, salary, participation, etc., is, say $150.00 per month, or $1,800 per year, how do you calculate his 415 limit in the new DB plan? Is it only $50 per month, because his "old" 415 limit was higher than what his new limit would be, and there was only $50 per month available under the prior plan? Or is it done in some other manner - for example, since his prior benefit was higher than the current 415 limit based solely upon his current income, is his 415 limit in the new plan zero? Or is something altogether different from either answer? Thanks!