On November 2, 2023, the IRS announced cost of living adjustments affecting qualified retirement plans for 2024.
|
Selected Limits |
2024 |
2023 |
|
401(k) Elective Deferrals |
$23,000 |
$22,500 |
|
401(k) Catch Up Deferrals |
$7,500 |
$7,500 |
|
Annual Defined Contribution Limit (section 415)* |
$69,000 |
$66,000 |
|
Annual Compensation Limit ** |
$345,000 |
$330,000 |
|
Highly Compensated Employees (look-back year calculation)** |
$155,000 |
$150,000 |
|
Key Employee – Officer Threshold* |
$220,000 |
$215,000 |
|
Social Security Wage Base |
$168,600 |
$160,200 |
|
ESOP Threshold Balance for lengthening the 5-year installment period |
$1,380,000 |
$1,330,000 |
|
Amount for lengthening the 5-yearESOP installment period |
$275,000 |
$265,000 |
*Effective for limitation years ending in calendar year
**Effective for plan years beginning in the calendar year
