Source: https://www.govinfo.gov/content/pkg/CFR-2025-title26-vol6/pdf/CFR-2025-title26-vol6-sec1-402g-2.pdf#page=1
Pages 1-1, text extracted with pdftotext (poppler), reading order.

§ 1.402(g)–2

26 CFR Ch. I (4–1–25 Edition)

section 401(k)(3) and § 1.401(k)–1(b) for
the plan year.
[T.D. 8357, 56 FR 40546, Aug. 15, 1991, as
amended by T.D. 8581, 59 FR 66180, Dec. 23,
1994; T.D. 9169, 69 FR 78153, Dec. 29, 2004; T.D.
9324, 72 FR 21110, Apr. 30, 2007]

§ 1.402(g)–2 Increased limit for catchup contributions.
(a) General rule. Under section
402(g)(1)(C), in determining the amount
of elective deferrals that are includible
in gross income under section 402(g) for
a catch-up eligible participant (within
the meaning of § 1.414(v)–1(g)), the otherwise applicable dollar limit under
section 402(g)(1)(B) (as increased under
section 402(g)(7), to the extent applicable) shall be further increased by the
applicable dollar catch-up limit as set
forth under § 1.414(v)–1(c)(2).
(b) Participants in multiple plans.
Paragraph (a) of this section applies
without regard to whether the applicable employer plans (within the meaning of section 414(v)(6)) treat the elective deferrals as catch-up contributions. Thus, a catch-up eligible participant who makes elective deferrals
under applicable employer plans of two
or more employers that in total exceed
the applicable dollar amount under
section 402(g)(1) by an amount that
does not exceed the applicable dollar
catch-up limit under either plan may
exclude the elective deferrals from
gross income, even if neither applicable
employer plan treats those elective deferrals as catch-up contributions.
(c) Effective date—(1) Statutory effective date. Section 402(g)(1)(C) applies to
contributions in taxable years beginning on or after January 1, 2002.
(2) Regulatory effective date. Paragraphs (a) and (b) of this section apply
to contributions in taxable years beginning on or after January 1, 2004.

skersey on DSK4WB1RN3PROD with CFR

[T.D. 9072, 68 FR 40515, July 8, 2003]

§ 1.402(g)(3)–1 Employer contributions
to purchase a section 403(b) contract under a salary reduction
agreement.
(a) General rule. With respect to an
annuity contract under section 403(b),
except as provided in paragraph (b) of
this section, an elective deferral means
an employer contribution to purchase
an annuity contract under section

403(b) under a salary reduction agreement within the meaning of section
3121(a)(5)(D).
(b) Special rule. Notwithstanding
paragraph (a) of this section, for purposes of section 403(b), an elective deferral only includes a contribution that
is made pursuant to a cash or deferred
election (as defined at § 1.401(k)–1(a)(3)).
Thus,
for
purposes
of
section
402(g)(3)(C), an elective deferral does
not include a contribution that is made
pursuant to an employee’s one-time irrevocable election made on or before
the employee’s first becoming eligible
to participate under the employer’s
plans or a contribution made as a condition of employment that reduces the
employee’s compensation.
(c) Applicable date. This section is applicable for taxable years beginning
after December 31, 2008.
[T.D. 9340, 72 FR 41140, July 26, 2007]

§ 1.402A–1

Designated Roth Accounts.

Q–1. What is a designated Roth account?
A–1. A designated Roth account is a
separate account under a qualified cash
or deferred arrangement under a section 401(a) plan, or under a section
403(b) plan, to which designated Roth
contributions are permitted to be made
in lieu of elective contributions and
that satisfies the requirements of
§ 1.401(k)–1(f) (in the case of a section
401(a) plan) or § 1.403(b)–3(c) (in the case
of a section 403(b) plan).
Q–2. How is a distribution from a designated Roth account taxed?
A–2. (a) The taxation of a distribution from a designated Roth account
depends on whether or not the distribution is a qualified distribution. A qualified distribution from a designated
Roth account is not includible in the
distributee’s gross income.
(b) Except as otherwise provided in
paragraph (c) of this A–2, a qualified
distribution is a distribution that is
both—
(1) Made after the 5-taxable-year period of participation defined in A–4 of
this section has been completed; and
(2) Made on or after the date the employee attains age 591⁄2, made to a beneficiary or the estate of the employee on

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