How does the initial deductible contribution required in a Fully Insured 412 Split Funded Defined Benefit Plan compare to a traditional defined benefit plan?
See the appendix page that compares the first year contribution levels for a traditional defined benefit to a 412 Split Funded Defined Benefit Plan. These contribution levels are shown from ages 45 to 65. Comparisons are made for plans funded entirely with a combination of annuity and the maximum amount of life insurance available under the incidental insurance rules for qualified plans. A plan funded with both annuity and the maximum life insurance allowed may TRIPLE the deduction allowed in a traditional defined benefit plan.
