Common use of ADJUSTMENTS TO MAXIMUM ANNUAL ADDITION Clause in Contracts

ADJUSTMENTS TO MAXIMUM ANNUAL ADDITION. In applying the limitation on Annual Additions set forth in Section 6.1, the following adjustments must be made: (a) SHORT LIMITATION YEAR: In a Limitation Year of less than 12 months, the Defined Contribution Dollar Limitation in Section 6.1 (a) will be adjusted by multiplying it by the ratio that the number of months in the short Limitation Year bears to 12.

Appears in 2 contracts

Sources: Employee Stock Ownership Plan & Trust (Picis Inc), Employee Stock Ownership Plan & Trust (Picis Inc)