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Have an LLC prospect that wants to do a combination 401(K) and defined benefit plan. How do the LLC members pay the elective deferrals to the plan, through a personal account, from their draw??

The same way they do in a 401(k) plan. It can be from the draw. Technially, each member receives their Compensation only one day of the year; which is the last day of the fiscal year.

Good Luck.

CPC, QPA, QKA, TGPC, ERPA

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