Speaking of retirement planning-2008 Pension Plan Limitations

The IRS announced cost-of-living adjustments applicable to dollar limitations for pension plans and related amounts for 2008. Some amounts change due to cost-of-living adjustments, while others are Code-required changes. For instance, the (1) benefit limit for defined benefit plans increases from $180,000 to $185,000; (2) defined contribution plan limit goes up from $45,000 to $46,000; (3) compensation limit for determining benefits and contributions increases from $225,000 to $230,000; and (4) definition of a highly compensated employee goes from $100,000 to $105,000. On the other hand, the (1) SEP contribution threshold remains unchanged at $500; (2) limitation for SIMPLE retirement accounts stays at $10,500; and (3) compensation amount for defining a control employee for fringe benefit valuation purposes remains unchanged at $90,000. News Release IR-2007-171 .

Have questions? I’m here to help.

This field is for validation purposes and should be left unchanged.
This field is for validation purposes and should be left unchanged.
Categories
Accounting and Tax Services Litigation Support Managed Care Consulting Managed Care Contract Negotiations Medical Practice and Healthcare Entity Valuation Medical Practice Assessment Medical Practice Brokerage Medical Practice Embezzlement Consulting Medical Practice Management Medical Practice Merger Advice Medical Strategic Planning Newsletter Personal Financial Planning Oversight Physician Compensation Models Physician Compliance Physician Financial Management Services Retirement Uncategorized
About Reed Tinsley, CPA

As a top advisor to physicians, I help increase practice profits by delivering hands-on, expert medical accounting/tax support, practice counsel, and revenue-building strategies. Read More >

Reed Tinsley, CPA