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 UJET
Further Reading
Businesses that utilize the ACH network for banking should know that Nacha has amended its operating rules. A new format for the Company...
The rollercoaster ride continues as federal regulators reevaluate the current overtime rule and what it means to meet the salary level test...
The IRS has finalized the tax year 2026 Form W-2, solidifying more of the reporting requirements established by federal legislation passed ...
IRS has updated Form 5300, and that’s good news for sponsors of retirement plans wanting to ensure their plans’ tax benefits. ...
What should you do if you mistakenly pay out too much for one of your employer-provided benefits, such as your retirement plan? Plan spo...
IRS recently made changes to Form 941. For one thing, a Spanish version of the federal tax form is now available starting with the first qu...
