The IRS has announced cost of living adjustments (COLA) applicable to qualified retirement plans for 2024. Following is an updated summary of those adjustments.
2023 | 2024 | ||||
Maximum Compensation | $ | 330,000 | $ | 345,000 | |
Maximum Contribution Limit | 66,000 | 69,000 | |||
401(k) Salary Deferral Annual Limit | 22,500 | 23,000 | |||
SIMPLE Retirement Accounts | 15,500 | 16,000 | |||
457/403(b) Salary Deferral Annual Limit | 22,500 | 23,000 | |||
Defined Benefit Annual Limit | 265,000 | 275,000 | |||
Covered Compensation Limits – Social Security | 160,200 | 168,600 | |||
Catch-up Contributions 401(k)/403(b)/457 | 7,500 | 7,500 | |||
Catch-up Contributions SIMPLE 401(k) | 3,500 | 3,500 | |||
Highly Compensated Employee | 150,000 | 155,000 | |||
IRA Contribution Limit | 6,500 | 7,000 | |||
SEP Threshold | 750 | 750 |
For more information, please contact Therese Cheevers at tcheevers@windes.com or 844.4WINDES (844.494.6337).
