The IRS has announced cost of living adjustments (COLA) applicable to qualified retirement plans for 2021.
Following is an updated summary of those adjustments.
|Maximum Contribution Limit||57,000||58,000|
|401(k) Plan Annual Limit||19,500||19,500|
|SIMPLE Retirement Accounts||13,500||13,500|
|457/403(b) Annual Limit||19,500||19,500|
|Defined Benefit Annual Limit||230,000||230,000|
|Covered Compensation Limits – Social Security||137,700||142,800|
|Catch-up Contributions 401(k)/403(b)||6,500||6,500|
|Catch-up Contributions SIMPLE 401(k)||3,000||3,000|
|Highly Compensated Employee||130,000||130,000|
|IRA Contribution Limit||6,000||6,000|