Cash Balance Plans Even More Attractive

Some of the major issues that bothered potential sponsors of Cash Balance Plans have been dealt with in new proposed regulations. See this write-up from our partner actuarial firm, Kravitz.


http://cashbalancedesign.com/articles/documents/newcashbalanceregulations.pdf

If you have any professionals firms (CPA's, Attorneys, Engineers, Surgeons, etc.) who want to get beyond the 401(k) limit of $54,500, give us a call - Paul Carlson (650) 341-3322.

401(k) and Other Retirement Plan Limitations Stay Unchanged for 2011

The 401(k), 403(b) and other Retirement Plan limits will remain the same for 2011 as they have been for 2009 and 2010. There will be no cost of living adjustment for the second year in a row.


Salary Deferral Limit: $16,500
Over Age 50 Make-up contribution: $5,500
Therefore, total deferrals if over age 50 by 12/31/2011: $22,000
Definition of HCE - someone who made over $110,000 the prior year
Maximum Compensation Limit for Plan Purposes: $245,000
Social Security Wage Base: $106,800

To see a chart of more limits, click: www.401kacademy.com/401kpdf/limitationschart.pdf

New Video Available Explaining Cash Balance Plans

The actuarial firm that we partner with for Cash Balance Plans has produced an excellent video on the subject:

http://videostreamingnow.com/cashbalance/index.html

Leading Employee Benefits Law Firm Newsletters

Plan Sponsors, Financial Advisors and CPA's might all want to consider subscribing to some excellent newsletters from one of the leading employee benefits law firms.  Here is a link to do so:

http://www.reish.com/practice_areas/subscribe.cfm