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I doubt it. As I understand it, the annual limits apply only to the amount that he is deducting from his gross, and not to employer contributions or profit sharing. I deduct the max that the law allows, and my employer has added 50% each of the past two years (it's a complex formula, but that is the bottom line) without any downside problem for me. And the advantage over a pension plan -- I don't have to wait years for it to fully vest. It's all mine -- NOW.
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