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 2021 2020 2019
Contribution and Benefit Limits
Elective Deferral Limit $19,500 $19,500 $19,000
Catch-Up Contributions $6,500 $6,500 $6,000
Annual Contribution Limit $58,000 $57,000 $56,000
Annual Contribution Limit including Catch-Up Contributions $64,500 $63,500 $62,000
Annual Benefit Limit $230,000 $230,000 $225,000
Compensation Limits
Maximum Plan Compensation $290,000 $285,000 $280,000
Income Subject to Social Security $142,800 $137,700 $132,900
Key EE Compensation Threshold $185,000 $185,000 $180,000
Highly Compensated EE Threshold $130,000 $130,000 $125,000
IRA Limits
SIMPLE Plan Elective Deferrals $13,500 $13,500 $13,000
SIMPLE Catch-Up Contributions $3,000 $3,000 $3,000
Individual Retirement Account (IRA) $6,000 $6,000 $6,000
IRA Catch-Up Contribution $1,000 $1,000 $1,000
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