IRS Announces Increase in Retirement Plan Limits 2019

The Internal Revenue Service (IRS) announced cost of living adjustments (COLAs) affecting dollar limitations for retirement plans and other retirement-related items for Tax Year 2019. Good news, participants will be able to save more next year!

In general, many of the limits will increase for 2019 because the cost-of-living index met the statutory thresholds that trigger their adjustment.

Contribution/Benefit Limits 2019 2018
Elective Deferrals [401(k), 403(b) & 457 plans] $19,000 $18,500
Catch-Up Contribution $6,000 $6,000
Simple Employee Deferral $13,000 $12,500
Simple Catch-Up Contribution $3,000 $3,000
Annual Contribution Limit $56,000 $55,000
Annual Compensation Limit $280,000 $275,000
Highly Compensated Threshold $125,000 $120,000
Income Subject to Social Security $132,900 $128,400
Key Employee Compensation $180,000 $175,000
DB Plan Annual Benefit Limit $225,000 $220,000

As published by the Internal Revenue Service.

For full details on the pension plan limitations for 2019 click here.

For more information contact our team.

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