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The reason as mjolah pints out is due to old tax laws, there is NO reason now to limit employee elective deferals to 15%, unless they have had testing issues or are just unaware of the change in the law. A prototype document is relatively inexpensive to amend, usually just a couple of hundred dollars. I would ask them to review the entire document and make other changes as well. Most providers do not charge for each amendment if they are being done simultaneously. It can be a limitation, if you make $50k, a 15% limit only allows you to contribute $7,500 when the law allows for $13k this year. Remember, the 401k is for the employees benefit, maybe if you and a few others asked, they may reconsider.

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