Latest retirement plan limits feature a ton of changes
You don’t have to wait another minute for the feds’ latest retirement plan limits for 2015. Accounting and Benefits pros have the latest limits ahead of schedule (for once) from the feds.
There are some key changes in contribution limits for employer-provided retirement plans. Here’s what you need to know:
• 401(k), 403(b) and 457 plan contributions have increaded to $18,000. That’s up from $17,500 last year.
• Catch-up contributions for those plans jump to $6K (up from $5,500).
• The annual defined-contribution limit from all sources will rise to $53,000 (from $52,000).
• Employee compensation limits for calculating contributions to defined-contribution plans increases to $265,000 (from $260,000).
• The limit on annual IRA contributions remains capped at $5,500.
• The IRA catch-up contribution limit (which isn’t tied to the inflation rate) also remains the same, at $1,000.
• The limitation on the annual benefit under a defined-benefit plan will remain at $210,000.
• And the earning threshold used to define a highly compensated employee will increase to $120,000 (up from $115,000).
For more info, visit the IRS’s website here.
- Share on
Free Training & Resources
White Papers
Provided by Anaplan
Webinars
Provided by Yooz
Further Reading
It’s that time of year again: Employer health insurance plans are up for renewal. For finance leaders, this period can feel like a lotter...
IRS gave an update on several initiatives that have been in the works longer than expected. The Service’s latest goals are contained i...
IRS has given employers two extra years to implement a Secure 2.0 Act provision that’s bringing tax changes for certain retirement pl...
Maryland payroll teams have a hard deadline: Jan. 1, 2027. That’s when contributions to the state’s new paid family and medical...
If employees’ Family and Medical Leave Act (FMLA) entitlements are impermissibly reduced, your company may face legal consequences. ...
The Financial Accounting Standards Board (FASB) is requiring public companies to disclose expense details involving employee compensation, ...
