Internal Revenue Code Section 402(g)

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Internal Revenue Code Section 402(g) is the U.S. tax law provision that sets the annual dollar limit on how much employees can defer from their compensation into tax-favored retirement plans such as 401(k) and 403(b) plans.

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Statements (46)

Predicate Object
instanceOf U.S. federal tax law provision
section of the Internal Revenue Code
alsoKnownAs 402(g) elective deferral limit NERFINISHED
elective deferral limit
appliesOn a calendar-year basis for determining excess deferrals
appliesPer individual taxpayer across all applicable plans
appliesTo 401(k) plans
403(b) plans
SARSEP plans
SIMPLE 401(k) plans NERFINISHED
SIMPLE IRA plans
designated Roth contributions under 401(k) and 403(b) plans
elective deferrals under cash or deferred arrangements
eligible governmental 457(b) plans
employee elective deferrals
employees participating in salary reduction arrangements
pre-tax elective deferrals
authorizes the Secretary of the Treasury to adjust the elective deferral limit for inflation
defines annual dollar limit on elective deferrals
doesNotLimit catch-up contributions under Internal Revenue Code Section 414(v)
effectiveFrom tax years beginning after 1978
excludes employer matching contributions from the 402(g) limit
employer nonelective contributions from the 402(g) limit
rollover contributions from the 402(g) limit
governs maximum amount employees may defer from compensation into certain retirement plans
interactsWith Internal Revenue Code Section 401(k) NERFINISHED
Internal Revenue Code Section 403(b) NERFINISHED
Internal Revenue Code Section 415(c) NERFINISHED
Internal Revenue Code Section 457(b) NERFINISHED
isAdministeredBy Internal Revenue Service NERFINISHED
isCodifiedIn Title 26 of the United States Code NERFINISHED
isIndexedFor cost-of-living adjustments
isReferencedIn IRS Notice and Revenue Procedure guidance on cost-of-living adjustments
IRS Publication 525 NERFINISHED
IRS Publication 560 NERFINISHED
jurisdiction United States of America
surface form: United States
limits combined elective deferrals to 401(k), 403(b), SARSEP, and SIMPLE plans
partOf Internal Revenue Code NERFINISHED
provides that elective deferrals in excess of the 402(g) limit are excess deferrals
regulates elective deferrals to tax-favored retirement plans
requires distribution of excess deferrals to avoid adverse tax consequences
inclusion in gross income of excess deferrals not timely distributed
plan administrators to monitor elective deferrals against the annual limit
sets a separate limit from the overall annual additions limit under Section 415(c)
subjectTo annual dollar amount published by the Internal Revenue Service
wasAddedBy Revenue Act of 1978 NERFINISHED

Referenced by (1)

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403(b) plans contributionLimitBasis Internal Revenue Code Section 402(g)
subject surface form: 403(b) plan