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MORE PENSION PLANS UPDATES

The maximum 401(k) contribution will increase to $16,500 in 2009, which is a $1,000 increase over the current year.  Individuals born before 1960 can put in as much as $22,000 with the catch-up contribution available.

The maximum Simple IRA contribution increases to $11,500 with a catch-up contribution of $2,500 available to individuals age 50 or older in 2009.

Contribution amounts to defined contribution plans increase from $46,000 to $49,000 in 2009.  This applies to Keogh, profit sharing plans and other similar plans.

Anyone making over $110,000 is highly paid for plan discrimination testing in 2009.

There is no change in the pay-in limits for IRAs and Roth IRAs.  The limits remain at $5,000 plus $1,000 more for anyone born in 1959 or earlier.