401(a)(17) comp limit "old law"

[Guest meggie]

Before the IRS released the 2002 limits in IR 2001-115, it was conjectured that the pre EGTRRA old law comp limit under 401(a) (17) for 2002 would increase to 180,000 [based on old law COLA adjustments]. Since there was no announcement to this effect, it is pretty clear that old law means the comp limit for 2002 is 170,000.

Given that, if clients want to reflect the 180,000, would you agree that the plan doc would have to very explicit in that regard and clearly define how COLA will be applied. Do you see any 411(d) issues if COLA is prospectively removed from the language and say the comp limit is frozen at 180,000 for all future years.

Looking for opinions.

Thanks