§ XIX-505. Benefit Limitations
A. As provided under R.S. 11:1458, the following provisions shall apply for limitation years beginning on or after July 1, 2007.
1. Annual Benefit - Maximum Permissible Benefit. The annual benefit, otherwise payable to a participant under the plan, at any time shall not exceed the maximum permissible benefit. If the benefit the participant would otherwise accrue in a limitation year would produce an annual benefit in excess of the maximum permissible benefit, then the benefit shall be limited (or the rate of accrual reduced) to a benefit that does not exceed the maximum permissible benefit.
2. Adjustment if in Two Defined Benefit Plans. If the participant is, or has ever been, a participant in another qualified defined benefit plan (without regard to whether the plan has been terminated) maintained by the employer or a predecessor employer, the sum of the participant 's annual benefit from all such plans may not exceed the maximum permissible benefit. Where the participant 's employer-provided benefits under all such defined benefit plans (determined as of the same age) would exceed the maximum permissible benefit applicable at that age, the employer shall limit a participant 's benefit in accordance with the terms of the plan s.
3. Limits Grandfathered prior to July 1, 2007
a. The following sentence in Clause i of this Subparagraph applies only if the provisions of such defined benefit plans that were both adopted and in effect before April 5, 2007 satisfied the applicable requirements of statutory provisions, regulations, and other published guidance relating to IRC § 415 in effect as of the end of the last limitation year beginning before July 1, 2007, as described in U.S. Treasury regulations § 1. 415(a)-1(g)(4).
i. The application of the provisions of this Part shall not cause the maximum permissible benefit for any participant to be less than the participant 's accrued benefit under all the defined benefit plans of the employer or a predecessor employer as of the end of the last limitation year beginning before July 1, 2007 under provisions of the plans that were both adopted and in effect before April 5, 2007.(Promulgated by the Board of Trustees of the Assessors' Retirement Fund, LR 39:2189 (August 2013).)
AUTHORITY NOTE: Promulgated in accordance R.S. 11:1404(A), R.S. 11:1458, and R.S. 49.950 et seq.
Disclaimer: Although Lawrina works hard to ensure the information on this page is accurate and timely, we take no responsibility for deviations from the official text. Section XIX-505 Benefit Limitations may have been updated since our last review. Please refer to official resources for the most accurate information.