No. Each participant can have a different contribution amount. The amount can be a percentage of pay or a flat dollar amount.

Tax deductions and allocation of contributions for partnerships.

Tax deductions for contributions made on behalf of non-partner employees are taken on the partnership tax return. Tax deductions for contributions made on behalf of partners are taken on their personal or corporate tax returns.

To be sure that the amount deducted for tax purposes by a partner as shown on Schedule K-1 is the same as the amount contributed on behalf of the partner, the partnership agreement must permit this method of allocation. Most partnerships that adopt Cash Balance plans do not want the partners' contributions allocated like most other firm expenses, in proportion to ownership. Either the partnership agreement or internal policy should assure that each partner is allocated an appropriate share of the plan's cost.