The IRS has announced changes to retirement plan limits for 2024

Each year the Internal Revenue Service announces the cost-of-living adjustments applicable for all types of qualified retirement plans and IRAs. The various annual contribution limitations and other important indexes that govern all plans either remain unchanged year-over-year or may rise depending on whether the Consumer Price Index meets a threshold level dictating an increase.

For 2024, highlights include:

  • The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan is increased to $23,000, up from $22,500
  • The limit on annual contributions to an IRA changed to $7,000 for those under age 50. For those 50 and older, the limit is $8,000.
  • The amount individuals can contribute to their SIMPLE retirement accounts is increased to $16,000, up from $15,500.
  • The Annual Compensation Limit increased to $345,000, up from $330,000 .

The Retirement Plan Company is pleased to present this table for your convenience. Contact Us for more assistance.

Annual Compensation and Contribution Limits for Qualified Retirement Plans

(Amount is in $)

401(k) and 403(b) Deferral Limit23,00022,50020,50019,50019,50019,00018,50018,000
457 Deferral Limit23,00022,50020,50019,50019,50019,00018,50018,000
401(k), 403(b), 457 Catch-up Contribution Limit7,5007,5006,5006,5006,5006,0006,0006,000
SIMPLE Deferral Limit16,00015,50014,00013,50013,50013,00012,50012,500
SIMPLE Catch-up Contribution Limit3,5003,5003,0003,0003,0003,0003,0003,000
Annual Compensation Limit345,000330,000305,000290,000285,000280,000275,000270,000
Defined Benefit 415 Limit275,000265,000245,000230,000230,000225,000220,000215,000
Defined Contribution 415 Limit69,00066,00061,00058,00057,00056,00055,00054,000
Dollar Limit for HCEs155,000150,000135,000130,000130,000125,000120,000120,000
Dollar Limit for Key Employee220,000215,000200,000185,000185,000180,000175,000175,000
Social Security Taxable Wage Base168,600160,200147,000142,800137,700132,900128,400127,200