Originally Posted by
Big E 757
The money that will fund the MCB plan will be the DC contributions once we hit the 415(c) limit. Right now, those that do hit the limit, don’t until September to November. With a 25% DC contribution, it would happen earlier for the top guys, but most won’t be hitting the limit until the fall anyway. I only see a couple of months of lost earnings on the first few contributions for most of us.
Some of us hit our DC limits in Feb, because of 401a after tax contributions. You are right though the majority of the funding happens at the end of the year. Also, just because the example had an end of year credit doesn't necessarily mean that is how all plans are structured.