Repeal of coordination of 457(b)deferred compensation limit with 403(b

[Guest mike webb]

Does the pending repeal of the combined 403(B)/457(B) deferral limitation (in pending pension legislation) create plan design opportunities for 403(B) plan sponsors who wish to circumvent the 402(g)limits for applicable employees? For example, if the repeal is passed, could an employer who maintains an exisitng 403(B) arrangement simply establish a 457(B) plan as well, so that employees who are capped at the 402(g) elective deferral limit of $10,500 (indexed) could defer up to an additional $8,000 (indexed) in a 457(B) arrangement (assuming that the other limits that apply to the respective plans do not come into play)? I suspect that this is not the intent of the legislation, and that the repeal would only apply to plans of unrelated employers, not the same employer, but I want to make certain that I am not ignoring a plan design opportunity here...