Yesterday, the IRS announced cost-of-living adjustments (COLA) affecting dollar limitations for qualified plans for tax year 2015. The plan limit for 401(k), 403(b) and most 457 plans is increased from $17,500 to $18,000, and the catch-up contribution limit will increase from $5,500 to $6,000. Also, the defined contribution 415 limit will be $53,000 for 2015. For all of the specific details, access the IRS’s announcement.
2015 COLA Amounts
Salary Deferral Contribution Limit |
$ 18,000 |
Catch Up Contribution Limit |
$ 6,000 |
Compensation Limit |
$ 265,000 |
Highly Compensated Employee Compensation Limit |
$ 120,000 |
Section 415 Annual Addition Limit |
$ 53,000 |
Social Security Taxable Wage Base |
$ 118,500 |
Defined Benefit Plan Annual Benefit Limit |
$ 210,000 |
SIMPLE Salary Deferral Contribution Limit |
$ 12,500 |
SIMPLE Catch Up Contribution Limit |
$ 3,000 |