Simple IRA deferrals

[Lori Foresz]

I'm having an unusually hard time confirming this but do SIMPLE IRA salary deferrals count towards the 402(g) limit? Does it matter SIMPLA IRA vs 401(k)/

Thanks for the guidance.

[Appleby]

Yes it does.

If you make salary deferrals to both plans, you are limited to $12,000 ( for 2003) + catch-up IRC § 402(g)(1) EGTRRA 2001 § 611(d)(1))...

[Lori Foresz]

Hi,

Thanks for confirming what I thought. Do you know, did EGTRRA change this or have SIMPLE IRA contributions always counted towards 402(g)?

P.S. I will bring up EGTRRA and research myself, but I am just trying to save some valuable time.

Thanks!!

[Appleby]

No Explanations necessary- Most of us use this board just to save time.

This was not changed by EGTRRA. The SIMPLE deferral was always part of 402(g) since it’s inception (1997).