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December 31, 2024

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metsfan026 created a topic in Defined Benefit Plans, Including Cash Balance

Cash Balance Benefits

"If the document says Employee A gets a benefit of $100,000 and Employee B gets $20,000. Is there a required salary they need to get to get that benefit, or since the document states a set dollar amount as long as the testing passes there is no issue (the only two employees are 50% owners, so discrimination isn't an issue). Theoretically, can Employee A take a $10k salary and still get the $100,000 benefit?"

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