IRS Announces Updates to 2019 Retirement Plan Limits

AdminBlog, Retirement

Each year the IRS provides cost-of-living adjustments to benefit plan limits to assist sponsors in administering their plans. On November 1, the IRS released Notice 2018-83, which provided 2019 limits for retirement plans. Information on the release can be found here.

Some of the key limits are shown below, along with the increase in the Social Security taxable wage base released by the Social Security Administration earlier this year.

  2019 2018
Annual defined benefit limit $225,000 $220,000
Annual defined contribution limit $  56,000 $  55,000
Compensation limit $280,000 $275,000
Elective deferrals [401(k) / 403(b) / 457] $  19,000 $  18,500
Highly compensated employee threshold $125,000 $120,000
Social Security taxable wage base $132,900 $128,400

 

Feel free to reach out to your Foster & Foster consultant with any questions you may have.