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Hi and welcome to Just Answer!Yes - there is an overall limit on all contributions into qualified retirement account.
Than limit affect both employee deferred contribution and employer's contribution.
The limitation for defined contribution plans under Section 415(c)(1)(A) - it is $49,000 for 2011 and $50,000 for 2012.
Your combined contributions (including employer's contributions) in all retirement plans in 2011 may not be more than $49,000.
See for reference - http://www.irs.gov/newsroom/article/0,,id=248482,00.html