Section 404 limits.

[Guest Thornton]

A company has several nonunion and union plans. Members of one of the union 401(k) plans want to increase deferral limits to 20%. There is also a 5% company profit sharing contribution. When a company sponsors multiple retirement plans, including union plans, how is the 404 limit calculated? Is it total corporate payroll, or is each union plan payroll calculated separately?

[david rigby]

There have been several discussion threads on this topic in the past few months. You will probably find some useful information if you do a search on all the Message Boards, probably using such words/phrases as "404" "404 limit", "deductible limit", etc.

(without the quote marks of course).

Good luck.

[Guest Mike Kimball]

check out PLR 199909060

[Guest YEBR]

An employer forgot to make a contribution to the plan by the due date of the tax return. Can that employer still make the contribution for the prior plan year even if the contribution is not deductible? Are there other options to get this contribution in for the prior plan year? Are there penalties for not making the contribution?