Earned. Income Net earnings from self-employment in the trade or business with respect to which the Plan is established, determined without regard to items not included in gross income and the deductions allocable to such items, provided that personal services of the individual are a material income-producing factor. Earned Income shall be reduced by contributions made by an Employer to a Qualified Plan to the extent deductible under Code Section 404. Net earnings shall be determined taking into account the deduction for one-half of self-employment taxes allowed to the taxpayer under Code Section 164(f), to the extent deductible for taxable years beginning after December 31, 1989.
Appears in 4 contracts
Samples: Nonstandardized Adoption Agreement (Banctrust Financial Group Inc), Prototype Defined Contribution Plan (Georgetown Bancorp, Inc.), Nonstandardized Adoption Agreement (Chicopee Bancorp, Inc.)
