IRS Releases June 2013 Interest Rates - http://t.co/JhlrnTs5SI
Last week, the IRS issued a press release announcing its 2012 cost-of-living adjustments for retirement plans. The chart below reflects the qualified plan limits for calendar years 2009-2012.
|
Type of Limitation |
2012 |
2011 |
2010 |
2009 |
|
Elective Deferrals (401(k) and 403(b); not including adjustments and catch-ups) |
$17,000 |
$16,500 |
$16,500 |
$16,500 |
|
457(b)(2) and 457(c)(1) Limits (not including catch-ups) |
$17,000 |
$16,500 |
$16,500 |
$16,500 |
|
Section 414(v) Catch-Up Deferrals to 401(k), 403(b), 457(b), or SARSEP Plans (1) |
$5,500 |
$5,500 |
$5,500 |
$5,500 |
|
SIMPLE 401(k) or regular SIMPLE plans, Catch-Up Deferrals |
$2,500 |
$2,500 |
$2,500 |
$2,500 |
|
415 limit for Defined Benefit Plans |
$200,000 |
$195,000 |
$195,000 |
$195,000 |
|
415 limit for Defined Contribution Plans |
$50,000 |
$49,000 |
$49,000 |
$49,000 |
|
Annual Compensation Limit |
$250,000 |
$245,000 |
$245,000 |
$245,000 |
|
Annual Compensation Limit for Grandfathered Participants in Governmental Plans Which Followed 401(a)(17) Limits (With Indexing) on July 1, 1993 |
$375,000 |
$360,000 |
$360,000 |
$360,000 |
|
Highly Compensated Employee 414(q)(1)(B) |
$115,000 |
$110,000 |
$110,000 |
$110,000 |
|
Key employee in top heavy plan (officer) |
$165,000 |
$160,000 |
$160,000 |
$160,000 |
|
SIMPLE Salary Deferral |
$11,500 |
$11,500 |
$11,500 |
$11,500 |
|
Tax Credit ESOP Maximum balance |
$1,015,000 |
$985,000 |
$985,000 |
$985,000 |
|
Amount for Lengthening of 5-Year ESOP Period |
$200,000 |
$195,000 |
$195,000 |
$195,000 |
|
Taxable Wage Base |
$110,100 |
$106,800 |
$106,800 |
$106,800 |
|
FICA Tax for employees and employers |
7.65% |
7.65% |
7.65% |
7.65% |
|
Social Security Tax for employees and employers |
6.2% |
6.2% |
6.2% |
6.2% |
|
Medicare Tax for employees and employers |
1.45% |
1.45% |
1.45% |
1.45% |
Reflects the issuance of IRS News Release IR-2011-103, October 20, 2011
(1) This number is only the catch-up available under Code Section 414(v). Code Sections 457(b)(3) and 402(g) provide separate catch-up rules, which must also be considered in appropriate cases.