Annual Plan Limits
Each year the U.S. government adjusts the limits for qualified plans and
Social Security to reflect cost-of-living adjustments and changes in the law. Many of these limits are based on the "plan year" as defined in the plan
document. The elective deferral and catch-up limits are always based on the
calendar year.
| Type |
2020 |
2019 |
2018 |
| Contribution and Benefit Limits |
|
|
|
| Elective Deferral Limit |
$19,500 |
$19,000 |
$18,500 |
| Catch-Up Contributions |
$6,500 |
$6,000 |
$6,000 |
| Annual Contribution Limit |
$57,000 |
$56,000 |
$55,000 |
| Annual Contribution Limit including Catch-Up Contributions |
$63,500 |
$62,000 |
$61,000 |
| Annual Benefit Limit |
$230,000 |
$225,000 |
$220,000 |
| Compensation Limits |
|
|
|
| Maximum Plan Compensation |
$285,000 |
$280,000 |
$275,000 |
| Income Subject to Social Security |
$137,700 |
$132,900 |
$128,400 |
| Key EE Compensation Threshold |
$185,000 |
$180,000 |
$175,000 |
| Highly Compensated EE Threshold |
$130,000 |
$125,000 |
$120,000 |
| IRA Limits |
|
|
|
| SIMPLE Plan Elective Deferrals |
$13,500 |
$13,000 |
$12,500 |
| SIMPLE Catch-Up Contributions |
$3,000 |
$3,000 |
$3,000 |
| Individual Retirement Account (IRA) |
$6,000 |
$6,000 |
$5,500 |
| IRA Catch-Up Contribution |
$1,000 |
$1,000 |
$1,000 |
|
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