Money Purchase May 2026

Employers declare a set percentage (e.g., 5% of pay) in the plan document. The maximum contribution for 2026 is the lesser of $72,000 or 100% of a participant's salary.

A money purchase plan is a retirement account where the to make annual contributions. money purchase

Participants typically choose how to invest the contributions made on their behalf, and their final benefit is based on these investment gains or losses at retirement. Employers declare a set percentage (e