The Internal Revenue Service has announced cost-of-living adjustments applicable to dollar limitations for retirement plans and other benefits for 2019.
| 2018 Limits | 2019 Limits | |
| 401(k)/403(b) Contributions* | $18,500 |
$19,000
|
|
457(b) Limit*
|
$18,500 |
$19,000
|
|
Catch-up Contributions*
|
$6,000
|
$6,000
|
|
SIMPLE Contributions*
|
$12,500 | $13,000 |
|
SIMPLE Catch-up Contributions*
|
$3,000 | $3,000 |
|
Compensation Limit**
|
$275,000 |
$280,000
|
|
Highly Compensated Employees**
|
$120,000 |
$125,000
|
|
Key Employee Officer Compensation**
|
$175,000
|
$180,000
|
|
Maximum Annual Benefit
Defined Benefit Plan**
|
$220,000 | $225,000 |
|
Maximum Annual Contribution
Defined Contribution Plan**
|
$55,000 | $56,000 |
|
ESOP Limits
Dollar limit for determining lengthening of 5-year
period*
|
$220,000 | $225,000 |
|
Dollar amount for determining max. amount subject to
5-year distribution*
|
$1,105,000 |
$1,130,000
|
|
FICA Wage Base***
|
$128,400 |
$132,900
|
|
* Calendar year limitation.
** For plan years beginning in the calendar year.
Also applicable to Code Section 409A.
*** Calendar year limitation for FICA withholding purposes
and for plan years beginning in the calendar year for retirement
plan purposes.
|
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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.