Get more! Sign up for PLANSPONSOR newsletters.
Compliance November 20, 2007
IRS Publishes Taxable Wage Base for 2008
November 20, 2007 (PLANSPONSOR.com) - The Internal
Revenue Service has issued Revenue Ruling 2007-71 providing
the table of covered compensation for the 2008 year for use
in determining contributions to defined benefit plans and
permitted disparity.
Reported by Rebecca Moore
For purposes of determining covered compensation for the 2008 plan year, the taxable wage base is $102,000. Permitted disparity allows for larger contributions or benefits with respect to compensation in excess of the Social Security wage base.
In determining an employee’s covered compensation for a plan year, the taxable wage base for the plan year is the taxable wage base in effect as of the beginning of the plan year.
Revenue Ruling 2007-71 is here .
It will be published in Internal Revenue Bulletin 2007-50 dated December 10, 2007.
You Might Also Like:
IRS Notice Defines Retirement Plan Tax Distribution Exceptions
The IRS has provided guidance on certain exceptions from the 10% tax penalty for emergency personal or family expenses and...
Employer Forfeited Funds Complaint Against HP Inc. 401(k) Plan Is Dismissed
A federal judge ruled the suit’s ‘theory of liability’ was too broad and dismissed the complaint, which focused on the...
What Does the End of Chevron Deference Mean for the DOL?
It could mean more lawsuits and overturned rules related to retirement plans.