Cash Balance Plan Calculator — 2026 Contribution Estimate, Free

How much could a cash balance plan let you deduct in 2026?

For self-employed, S-corp and small-practice owners aged 40 and up: a range for the yearly contribution, stacked with a 401(k) and profit sharing, the tax it could save at your bracket, what employee contributions cost, and a multi-year projection.

Estimate only, not tax advice. A real plan is designed and valued each year by an enrolled actuary. Nothing you type leaves this browser.

1. You and your business

Your age at the end of 2026

Your annual pay for plan purposes ($)

Business profit before any retirement contribution ($)

Combined marginal tax rate (%)

Planned plan retirement age

Assumptions used for 2026 (stated, not verified for your plan): 415(b) annual benefit limit $290,000; 415(c) defined-contribution limit $72,000; 401(k) deferral $24,500 plus catch-up; compensation limit $360,000. Confirm each against the IRS's current notice.

2. Employees

Eligible employees (not counting you)

Average pay per employee ($)

Employee contribution (% of their pay)

Testing note: plans covering staff must pass nondiscrimination tests. A flat 3% is a starting point; actual required contributions are often higher and are set by your actuary.

3. Projection

Projection years

Interest credit / growth per year (%)

Tax rate on later withdrawals (%)

Enter your age, pay and business profit, then click Estimate.

What this does not cover

Not an actuarial valuation. Contributions come from a simplified model of the 415(b) limit, a 10-year participation scale and three rate scenarios. Your enrolled actuary uses your plan document, hire dates and funding rules, and the number can differ materially from this range.
Deduction limits and timing. Deductions are capped by business income here; real limits, minimum funding, the PBGC premium and plan setup and administration fees are not included.
Taxes are approximate. One marginal rate stands in for federal, state and any self-employment or payroll effects. The deduction defers tax to withdrawal; it does not remove it.
Employee cost is a simple percentage. Nondiscrimination and coverage testing can require more, and a plan is a multi-year commitment.
Point-in-time 2026 assumptions. Limits are re-indexed each year.

Common questions

What is the maximum cash balance plan contribution in 2026?

There is no single number. The plan's annual benefit is limited to $290,000 (Section 415(b), the 2026 figure this tool assumes) or 100% of pay if lower, and an enrolled actuary turns that into a yearly contribution based on your age, years to retirement and the plan's rates. At age 50 with full pay this tool shows roughly $200,000 to $300,000 a year, and more at older ages, as a range and not a quote.

Can I have a cash balance plan and a 401(k) together?

Yes. Owners commonly pair them. Elective deferrals ($24,500 for 2026, plus catch-up) sit outside the combined deduction limit, and employer profit sharing is usually kept to about 6% of pay so the total deduction stays within the combined-plan rule. Your actuary confirms the exact stack.

What does a cash balance plan cost for employees?

Nondiscrimination testing usually requires contributions for eligible employees. This tool models a simple percentage of their pay, 3% by default, but real requirements for a plan with staff are often higher, so treat the default as a floor to test, not a promise.

How much tax does a cash balance plan save?

The contribution is deductible, so the saving is roughly the deduction times your combined marginal rate. It is a deferral, not an exemption: withdrawals are taxed later. This tool shows both the deduction-year saving and a rough after-tax value of the projected balance.

Is this tax advice or an actuarial valuation?

No. It is an illustrative estimate from published limits and stated assumptions. A real cash balance plan must be designed and valued by an enrolled actuary, and your tax professional should confirm the deduction.