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Text of IRS General Information Letter to Mark Iwry on Automatic Compensation Reduction Elections (PDF)
American Benefits Council 
Apr. 8, 2004
2 pages. Excerpt: [T]here is no special maximum limit on the automatic compensation reduction percentage and no safe harbor automatic compensation reduction percentage.... [F]or example, the automatic compensation reduction percentage need not be limited to the percentage of compensation that limits, under the plan, the amount of elective contributions or elective deferrals that are matched by employer matching contributions.
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