IRS Publishes New Pension Plan Limitations for 2018
The Internal Revenue Service (IRS) announced cost of living adjustments (COLAs) affecting dollar limitations for pension plans and other retirement-related items for Tax Year 2018.
In general, many of the pension plan limitations will change for 2018 because the increase in the cost-of-living index met the statutory thresholds that trigger their adjustment.
| Contribution/Benefit Limits | 2018 | 2017 |
|---|---|---|
| Elective Deferrals [401(k), 403(b) & 457 plans] | $18,500 | $18,000 |
| Catch-Up Contribution | $6,000 | $6,000 |
| Simple Employee Deferral | $12,500 | $12,500 |
| Simple Catch-Up Contribution | $3,000 | $3,000 |
| Annual Contribution Limit | $55,000 | $54,000 |
| Annual Compensation Limit | $275,000 | $270,000 |
| Highly Compensated Threshold | $120,000 | $120,000 |
| Income Subject to Social Security | $128,400 | $127,200 |
| Key Employee Compensation | $175,000 | $175,000 |
| DB Plan Annual Benefit Limit | $220,000 | $215,000 |
As published by the Internal Revenue Service.
For full details on the pension plan limitations for 2018 click here.
For more information contact our team.
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