IRS Announces Indexed Limits for 2017

Thursday, October 27, 2016

The IRS indexed dollar limits to qualified retirement plans for 2017 are provided in the table below. This update is provided for informational purposes and is not intended as legal advice.

ItemIRC Reference2016 Limit2017 Limit
401(k) and 403(b) Employee Deferral Limit1402(g)(1)$18,000$18,000
457 Employee Deferral Limit457(e)(15)$18,000$18,000
Catch-up Contribution2414(v)(2)(B)(i)$6,000$6,000
Defined Contribution Dollar Limit415(c)(1)(A)$53,000$54,000
Defined Benefit Dollar Limit415(b)(1)(A)$210,000$215,000
Compensation Limit3401(a)(17); 404(l)$265,000$270,000
Highly Compensated Employee Income Limit4414(q)(1)(B)$120,000$120,000
Key Employee Officer416(i)(1)(A)(i)$170,000$175,000
Social Security Taxable Wage Base $118,500$127,200

1 Employee deferrals to all 401(k) and 403(b) plans must be aggregated for purposes of this limit. A lower limit applies to SIMPLE plans.

2 Available to employees age 50 or older during the calendar year. A lower limit applies to SIMPLE plans.

3 All compensation from a single employer (including all members of a controlled group) must be aggregated for purposes of this limit.

4 For the 2017 plan year, an employee who earns more than $120,000 in 2016 is an HCE. For the 2018 plan year, an employee who earns more than $120,000 in 2017 is an HCE.

 

More Information

View the flyer for partners and plan sponsors.

View the flyer for distribution to participants.

 

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