Account Balance to consider when taking a 2nd loan

[jkharvey]

When computing the maximum loan allowed for a participant loan the account balance to use for the 50%, is the loan balance included or not? Our document and loan policy don't specifically address this and I've looked at the regs, but maybe i'm missing it.

Thanks

[Lou S.]

The loan is part of a participant's account balance, why wouldn't you include it? It is simply another asset of the plan.