Some retirement plan dollar limitations will increase in 2017, but the limit on elective salary deferral contributions on a combined pre-tax and Roth basis will remain unchanged at $18,000. In addition, the catch-up contribution limit will remain unchanged at $6,000. For purposes of withholding and paying FICA and FUTA taxes, the Social Security Wage Base is increasing from $118,500 in 2016 to $127,200 in 2017.
Other key limits are included in the chart below:
| Limit | 2016 | 2017 |
| Social Security Wage Base | $118,500 | $127,200 |
| Elective Deferral/Roth contribution limit for 401(k), 403(b) and 457 plans | $18,000 | $18,000 |
| Catch-up contribution limit for employees aged 50 and over for 401(k), 403(b) and 457 plans | $6,000 | $6,000 |
| IRA contribution limit | $5,500 | $5,500 |
| IRA catch-up for individuals aged 50 and over | $1,000 | $1,000 |
| 415 limit for defined contribution plans | $53,000 | $54,000 |
| Compensation limit for qualified plans | $265,000 | $270,000 |
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.
