Annual Retirement Plan Limits

The IRS has announced changes to retirement plan limits for 2022

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 which 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 2022, 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 $20,500
  • Limits on contributions to traditional and Roth IRAs remains unchanged at $6,000
  • The Total Annual Contribution Limit (EE+ER) for defined contribution plans increases from $57,000 to $61,000.
  • The Annual Compensation Limit increases from $285,000 to $305,000.

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 $)

 202220212020201920182017
401(k) and 403(b) Deferral Limit20,50019,50019,50019,00018,50018,000
457 Deferral Limit20,50019,50019,50019,00018,50018,000
401(k), 403(b), 457 Catch-up Contribution Limit6,5006,5006,5006,0006,0006,000
SIMPLE Deferral Limit14,00013,50013,50013,00012,50012,500
SIMPLE Catch-up Contribution Limit3,0003,0003,0003,0003,0003,000
Annual Compensation Limit305,000290,000285,000280,000275,000270,000
Defined Benefit 415 Limit245,000230,000230,000225,000220,000215,000
Defined Contribution 415 Limit61,00058,00057,00056,00055,00054,000
Dollar Limit for HCEs135,000130,000130,000125,000120,000120,000
Dollar Limit for Key Employee200,000185,000185,000180,000175,000175,000
Social Security Taxable Wage Base147,000142,800137,700132,900128,400127,200