|
2003 Limit |
2002 Limit |
|||
|
Contributions and Benefits |
||||
|
401(k) plan maximum salary reduction |
$ 12,000 |
$ 11,000 |
||
|
403(b) plan maximum salary reduction |
$ 12,000 |
$ 11,000 |
||
|
Catch-Up contribution limit |
$ 2,000 |
$ 1,000 |
||
|
SIMPLE maximum salary reduction |
$ 8,000 |
$ 7,000 |
||
|
457(b) plan maximum salary reduction |
$ 12,000 |
$ 11,000 |
||
|
Highly compensated employees |
$ 90,000 |
$ 90,000 |
||
|
Determination of key employees: |
||||
|
• officers earning more than - |
$ 130,000 |
$ 130,000 |
||
|
Maximum compensation for benefit purposes |
$ 200,000 |
$ 200,000 |
||
|
Code §415 maximums |
||||
|
• total defined benefit accrued |
$ 160,000* |
$ 160,000 |
||
|
• annual defined contribution allocation |
$ 40,000 |
$ 40,000 |
||
|
Distributions |
||||
|
Employee Stock Ownership Plans |
||||
|
• exercised put option that must be distributed in 5 years |
$ 810,000 |
$ 800,000 |
||
|
• incremental dollar amount for extended put option |
$ 160,000 |
$ 160,000 |
||
|
Pension Benefit Guaranty Corporation |
||||
|
Maximum monthly benefit guaranteed by the PBGC |
$ 3,664.77 |
$ 3,579.55 |
||
|
• fixed premium |
19 |
19 |
||
|
• variable premium |
0.9% |
0.9% |
||
|
• premium cap |
none |
none |
||
|
Simplified Employee Pensions (SEPs) |
||||
|
Compensation level mandating inclusion in plan |
$ 450 |
$ 450 |
||
|
* For vested, terminated, may multiply compensation adjusted through 2002 by 1.0159 |
||||
|
Social Security/Medicare |
||||
|
Social Security |
||||
|
• OASDI taxable wage base |
$ 87,000 |
$ 84,900 |
||
|
• OASDI tax rate |
6.20% |
6.20% |
||
|
• maximum monthly benefit |
$ 1,741 |
$ 1,660 |
||
|
• cost of living adjustment |
1.4% |
2.6% |
||
|
Maximum income without reducing Social Security retirement benefits |
||||
|
• before Full Retirement Age |
$ 11,520 |
$ 11,280 |
||
|
• year of Full Retirement Age |
$ 30,720 |
$ 30,000 |
||
|
• after Full Retirement Age |
Unlimited |
Unlimited |
||
|
Medicare Part A |
||||
|
• HI (Medicare) taxable wage base |
Unlimited |
Unlimited |
||
|
• Medicare tax rate |
1.45% |
1.45% |
||
|
• deductible |
$ 840 |
$ 812 |
||
|
Medicare Part B |
||||
|
• monthly premium |
$ 58.70 |
$ 54 |
||
|
• deductible |
$ 100 |
$ 100 |
||
|
Qualified Transportation Benefits |
||||
|
• monthly parking |
$ 190 |
$ 185 |
||
|
• monthly transit pass/commuter vehicle |
$ 100 |
$ 100 |
||
The content of this article does not constitute legal advice and should not be relied on in that way. Specific advice should be sought about your specific circumstances.