Retirement Plan Limitations for 2016

Below you will find the recent changes affecting employee benefit plans for 2016

-none of the limits have changed from 2015, as noted below. 

 

Code Section 2016 2015 2014
IRAs      
IRA Contribution Limit - 219(b)(5)(A) $5,000 5,000 5,000
IRA Catch-Up Contributions - 219(b)(5)(B) $1,000 1,000 1,000
IRA AGI Deductions Phase-out Starting at      
Joint Return $98,000 98,000 96,000
Single or Head of Household $61,000 61,000 60,000
SEP      
SEP Minimum Compensation-408(k)(2)(C) $600 600 550
SEP Maximum Compensation-408(k)(3)(C) $265,000 265,000 260,000
401(k), 403(b), Profit-Sharing Plans, etc.      
Annual Compensation- 401(a)(17)404(l) $265,000 265,000 260,000
Elective Deferrals - 402(g)(1) $18,000 18,000 17,500
Catch-up Contributions - 414(v)(2)(B)(i) $6,000 6,000 5,500
Defined Contribution Limits - 415(c)(1)(A) $53,000 53,000 52,000
ESOP Limit - 409(o)(1)(C) - Account Balance $1,070,000 1,070,000 1,050,000
ESOP Limit - 409(o)(1)(C) - Lengthening 5- Year Period $210,000 210,000 210,000
Other      
HCE Threshold - 414(q)(1)(B) $120,000 120,000 115,000
Defined Benefit Annual Limit - 415(b)(1)(A) $210,000 210,000 210,000
Key Employee - 416(i)(A)(i) $170,000 170,000 170,000
457 Elective Deferrals - 457(e)(15) $18,000 18,000 17,500
Control Employee - 1.61-21(f)(5)(i) $105,000 105,000 105,000
Control Employee - 1.61-21(f)(5)(iii) $215,000 215,000 210,000
Social Security Taxable Wage Base $118,500 118,500 117,000
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