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404 Limits under EGTRA


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It is my understanding that for plan years beginning after 12/31/01 we will include participant deferrals as compensation. Does this also include cafeteria deferrals?

e.g for 404:

Compensation: 40,000

Deferrals: 2,000

Cafeteria: 3,000

Old way Comp: 35,000

New way Comp: 40,000

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