CatchupSIMPLE
returns
the 414(v)(2)(B)(ii) SIMPLE Plan Catch-up
Contribution
amount for a given year for a Simple Retirement Account. A catch-up
contribution is an elective deferral made by a participant age 50 or older that
exceeds the otherwise limited amount.
CatchupSIMPLE for year 𝑥 is based on the
following formula:
|
Where 𝐶𝑃𝐼𝑦𝑒𝑎𝑟
is the “3rd quarter CPI” (sum of
the CPI-U for the months of July, August, and September) in the given year.
(September CPI is usual published around October 13.) If the amount so determined is not a multiple of $500,
it is rounded to the nearest multiple of $500. Not less than the amount for
the prior year. |
Syntax
CatchupSIMPLE (DeterminationYear, [LawYear],
[Inflation])
|
Parameter Name |
Description |
|
DeterminationYear |
A
4 digit number, or an optional text value as shown in the table below. If the
DeterminationYear is after the LawYear, this is a projected
calculation based on the Inflation assumption. Click to view various options for the DeterminationYear parameter. |
|
LawYear |
A
4 digit number. |
|
Inflation |
The
assumed rate of inflation: the IRS
Cost-of-Living Adjustment for future years, as measured by the
year-over-year increase in CPI-U. This
is used only for a projected calculation. Optional:
default = 0% |