; and (B) by adding at the end the following new clause: (iii) In the case of an applicable employer plan— (I) which is maintained by an eligible employer described in section 408(p)(2)(E)(i)(I), or (II) to which an election under section 408(p)(2)(E)(i)(II) applies for the year (including a plan described in section 401(k)(11) which is maintained by an eligible employer described in section 408(p)(2)(E)(i)(II) and to which such election applies by reason of subparagraphs (B)(i)(I) and (E) of section 401(k)(11)), the applicable dollar amount is $4,500. ; and (2) in subparagraph (C), by striking the $5,000 amount in subparagraph (B)(i) and the $2,500 amount in subparagraph (B)(ii) and inserting each of the dollar amounts in subparagraph (B) . (c) Employer match Clause (ii) of section 408(p)(2)(C) of the Internal Revenue Code of 1986 is amended— (1) by striking The term in subclause (I) and inserting Except as provided in subclause (IV), the term ; (2) by adding at the end the following new subclause: (IV) Special rule for electing larger employers In the case of an employer which had more than 25 employees who received at least $5,000 of compensation from the employer for the preceding year, and which makes the election under subparagraph (E)(i)(II) for any year, subclause (I) shall be applied for such year by substituting 4 percent for 3 percent .