Plan Contribution Limits

401(k) Plan Contributions

Annual Contribution Rates

On an annual basis, the IRS announces cost-of-living adjustments applicable for qualified retirement plans and IRAs. Some plan limits remain unchanged because the increase in the Consumer Price Index does not meet the thresholds for their adjustments, while others rise. For 2018, highlights include an increase in the Maximum Annual Contribution Limit for 401(k), 403(b) and 457 plans from $18,000 to $18,500 and an increase in the Annual Compensation Limit from $270,000 to $275,000.

Benefit Strategies is pleased to offer this chart for your reference.

Annual Compensation and Contribution Limits for Qualified Retirement Plans
  2018 2017 2016 2015
401(K) and 403(b) Deferral Limit 18,500 18,000 18,000 18,000
457 Deferral Limit 18,500 18,000 18,000 18,000
401(k), 403(b), 457 Catch-up Contribution Limit 6,000 6,000 6,000 6,000
SIMPLE Deferral Limit 12500 12,500 12,500 12,500
SIMPLE Catch-up Contribution Limit 3,000 3,000 3,000 3,000
Annual Compensation Limit 275,000 270,000 265,000 265,000
Defined Benefit 415 Limit 220,000 215,000 210,000 210,000
Defined Contribution 415 Limit 55,000 54,000 53,000 53,000
Dollar Limit for HCEs 120,000 120,000 120,000 120,000
Dollar Limit for Key Employee 175,000 175,000 170,000 170,000
Social Security Taxable Wage Base 128,700 127,200 118,500 118,500

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Benefit Strategies, Inc. (Benefit Strategies) is a wholly owned subsidiary of United Income, Inc. (“United Income”). Benefit Strategies does not provide investment advisory services to individual clients or retirement plan sponsors. United Income provides investment advisory services to retail clients and retirement plan sponsors, including clients that are also clients of Benefit Strategies’ administration services. United Income is an SEC-registered investment advisor, located in Washington, DC, and open to residents of all 50 states, the District of Columbia, Puerto Rico, Guam, and the U.S. Virgin Islands. Registration as an investment adviser does not imply a certain level of skill or training. Please download United Income’s latest Privacy Policy here. The opinions expressed throughout the website are those of Benefit Strategies and are subject to change without notice. Information provided on the website is from sources Benefit Strategies believes to be reliable, but the accuracy of such information cannot be guaranteed.