### Question
How is the "applicable defined benefit plan" defined?


### Answer
The term **applicable defined benefit plan** is defined in *26 U.S.C. § 411* as follows -

> a defined benefit plan under which the accrued benefit (or any portion thereof) is calculated as the balance of a hypothetical account maintained for the participant or as an accumulated percentage of the participant's final average compensation

#### Citation:
  - *26 U.S.C. § 411*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter D-Deferred Compensation, Etc. > PART I-PENSION, PROFIT-SHARING, STOCK BONUS PLANS, ETC. > Subpart B-Special Rules**

