Congressional Republicans Aug. 3 hammered out a tax package loaded...

Congressional Republicans Aug. 3 hammered out a tax package loaded with pension goodies. Workers aged 50 and older would be able to contribute up to 50% more to their retirement plans to make up for earlier years when they couldn’t contribute. Senate and House negotiators would raise the $10,000 401(k) contribution limit to $15,000; raise the $6,000 SIMPLE plan limit to $10,000; and let workers move their retirement dollars between 401(k) plans, 403(b) plans, 457 plans and IRAs when switching jobs. Also included is a provision that would allow higher employee contributions to traditional pension plans by eliminating the current ceiling on tax-deductible contributions. Companies with employee stock ownership plans could take tax deductions for dividends paid on ESOP stock, even if participants choose to plow back the money into the plan. And employers with overfunded pension plans could still use the surplus assets to pay for retiree health care benefits for the next decade under certain conditions.