What is Deferred Profit Sharing Plan

What is Deferred Profit Sharing Plan

DEFERRED PROFIT SHARING PLAN (DPSP) 

The DPSP is a plan which allows the employer to deduct contribution made for the benefits or its employees based on criteria specific to each plan.

Maximum Contribution to a DPSP

Employee:  No contribution allowed.

Employer:  18% of the salary paid to the employee without

                   Exceeding the DPSP contribution limit  for the year.

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