New LRM for CODAs--what is this on limits on percent of contributions?

[Guest Katharine Jungkind]

While perusing the newly released LRMs for CODAs, on page 3 I discovered a note to reviewer that says: "A plan can permit Ele tive Deferrals fo more than 75 percent of compensation, but in general a plan cannot limit Elective Deferrals to a percentage less than 75 percent of compensation." What gives? Where did this come from?

[QDROphile]

A 75 percent deferral limit is a safe harbor for assuring that particpants have adequate opportunity to make catch up contributions. See the catch up regulations and the preamble.