IRS Announces 2019 Plan Contribution and Benefit Limits

The Internal Revenue Service announced cost-of-living adjustments (COLAs) affecting dollar limitations for pension plans and other retirement-related items for the 2019 tax year. See the chart below for further details.
The highlights of limitations that changed from 2018 to 2019 include the following:
  • The 415(c) contribution limit applicable to defined contribution retirement plans increased from $55,000 to $56,000.
  • The 401(a)(17) annual compensation limit applicable to retirement plans increased from $275,000 to $280,000.
  • The elective deferral limit increased to $19,000.
     
See the chart below for further details for the new 2019 limits, as well as those for recent tax years.
 
2019
2018
2017
2016
Retirement Plans        
Annual Compensation Limits - 401(a)(17)/404(l)
280,000
275,000
270,000
265,000
Elective Deferrals 401(k)/403(b) - 402(g)(1)
19,000
18,500
18,000
18,000
Catch-up Contributions - 414(v)(2)(B)(i)
6,000
6,000
6,000
6,000
457 Elective Deferrals - 457(e)(15)
19,000
18,500
18,000
18,000
Defined Contribution Limits - 415(c)(1)(A)
56,000
55,000
54,000
53,000
Annual Compensation Grandfathered Governmental Plans
415,000
405,000
400,000
395,000
Other        
Highly Compensated Employee Threshold - 414(q)(1)(B)
125,000
120,000
120,000
120,000
Defined Benefit Limits - 415(b)(1)(A)
225,000
220,000
215,000
210,000
Key Employee - 416(i)(1)(A)(i)
180,000
175,000
175,000
170,000
Social Security Taxable Wage Base
132,900
128,400
127,200
118,500
IRAs        
IRA Contribution Limit - 219(b)(5)(A)
6,000
5,500
5,500
5,500
IRA Catch-Up Contributions - 219(b)(5)(B)
1,000
1,000
1,000
1,000
SEP        
SEP Minimum Compensation - 408(k)(2)(C)
N/A
600
600
600
SEP Maximum Compensation - 408(k)(3)(C)
280,000
275,000
270,000
265,000
SIMPLE Plans        
SIMPLE Maximum Contributions - 408(p)(2)(E)
13,000
12,500
12,500
12,500
SIMPLE Catch-up Contributions - 414(v)(2)(B)(ii)
3,000
3,000
3,000
3,000
All figures in US dollars.
Source: www.irs.gov
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