Employee Benefits & Executive Compensation
Action Item: The IRS announced inflation adjusted qualified retirement plan limits for 2015. The new limits affect all qualified plans and generally allow increased benefits. Employee communications and systems should be updated to reflect the new limits.The full chart of limitations may be accessed at http://www.irs.gov/pub/irs-tege/cola_table.pdf.
| Code Section | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 |
| 401(a)(17)/404(l) Annual Compensation |
$265,000 | $260,000 | $255,000 | $250,000 | $245,000 | $245,000 | $245,000 | $230,000 |
| 402(g)(1) Elective Deferrals | 18,000 | 17,500 | 17,500 | 17,000 | 16,500 | 16,500 | 16,500 | 15,500 |
| 415(b)(1)(A) DB Limits | 210,000 | 210,000 | 205,000 | 200,000 | 195,000 | 195,000 | 195,000 | 185,000 |
| 415(c)(1)(A) DC Limits | 53,000 | 52,000 | 51,000 | 50,000 | 49,000 | 49,000 | 49,000 | 46,000 |
| 414(v)(2)(B)(i) Catch-up Contributions |
6,000 | 5,500 | 5,500 | 5,500 | 5,500 | 5,500 | 5,500 | 5,000 |
| 414(v)(2)(B)(ii) Simple Catch-up Contributions |
3,000 | 2,500 | 2,500 | 2,500 | 2,500 | 2,500 | 2,500 | 2,500 |
| 408(k)(2)(C) SEP Minimum Compensation |
600 | 550 | 550 | 550 | 550 | 550 | 550 | 500 |
| 408(k)(3)(C) SEP Maximum Compensation |
265,000 | 260,000 | 255,000 | 250,000 | 245,000 | 245,000 | 245,000 | 230,000 |
| 408(p)(2)(E) Simple Maximum Contributions |
12,500 | 12,000 | 12,000 | 11,500 | 11,500 | 11,500 | 11,500 | 10,500 |
| 409(o)(1)(C) ESOP | 1,070,000 | 1,050,000 | 1,035,000 | 1,015,000 | 985,000 | 985,000 | 985,000 | 935,000 |
| Distribution Limits | 210,000 | 210,000 | 205,000 | 200,000 | 195,000 | 195,000 | 195,000 | 185,000 |
| 414(q)(1)(B) HCE Compensation Threshold |
120,000 | 115,000 | 115,000 | 115,000 | 110,000 | 110,000 | 110,000 | 105,000 |
| 416(i)(1)(A)(i) Key Employee | 170,000 | 170,000 | 165,000 | 165,000 | 160,000 | 160,000 | 160,000 | 150,000 |
| 457(e)(15) Deferral Limits | 18,000 | 17,500 | 17,500 | 17,000 | 16,500 | 16,500 | 16,500 | 15,500 |
| Taxable Wage Base | 118,500 | 117,000 | 113,700 | 110,000 | 106,800 | 106,800 | 106,800 | 102,000 |
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
