Home About Us Services Types of Plans Plan Limits Newsletters Resources Contact Us

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.

2017 2015-2016* 2014
Compensation $270,000 $265,000 $260,000
Limits on benefits and contributions:
  • Defined contribution plans
$54,000 $53,000 $52,000
  • Defined benefit plans
$215,000 $210,000 $210,000
  • 401(k), 403(b) and 457 plan elective deferrals
$18,000 $18,000 $17,500
  • SIMPLE plan elective deferrals
$12,500 $12,500 $12,000
  • IRA
$5,500 $5,500 $5,500
Catch-up contributions:
  • 401(k), 403(b) and 457 plans
$6,000 $6,000 $5,500
  • SIMPLE plans
$3,000 $3,000 $2,500
  • IRA
$1,000 $1,000 $1,000
"Highly Compensated" definition $120,000 $120,000 $115,000
"Key Employee" definition:
  • Officer
$175,000 $170,000 $170,000
  • 1% owner
$150,000 $150,000 $150,000
Social Security taxable wage base $127,200 $118,500 $117,000

*The 2015 limits remained unchanged for 2016 because the increase in the cost-of-living index did not meet the statutory thresholds that trigger their adjustment.


Secure File Transfer



8263 S. Saginaw, Suite 1
Grand Blanc, MI 48439

Phone : 810-695-4955
Fax :810-695-8754
info@ppsmi.com





   ©2017 Benefit Insights, LLC