IRS Limits for Qualified Retirement Plans

IRS updated cost-of-living adjustments (COLAs) applicable to contribution limitations for qualified retirement plans.

For Plan Years Beginning In 2022 2021 2020 2019 2018
Taxable Wage Base $147,000 $142,800 $137,700 $132,900 $128,400
Medicare Taxable Wage Base No Limit No Limit No Limit No Limit No Limit
Defined Benefit Limit $245,000 $230,000 $230,000 $225,000 $220,000
Compensation Limit $305,000 $290,000 $285,000 $280,000 $275,000
SEP Coverage $650 $650 $600 $600 $600
Key Employee 2022 2021 2020 2019 2018
Officer Compensation Exceeding $200,000 $185,000 $185,000 $180,000 $175,000
A more than 1% Owner Compensation Exceeding $150,000 $150,000 $150,000 $150,000 $150,000
A more than 5% Owner
Highly Compensated Employees 2022 2021 2020 2019 2018
Compensation Exceeding $135,000 $130,000 $130,000 $125,000 $120,000
Top Paid Group and Compensation Exceeding $135,000 $130,000 $130,000 $125,000 $120,000
A more than 5% Owner
For Plan Years Ending In 2022 2021 2020 2019 2018
Defined Contribution Limit $61,000 $58,000 $57,000 $56,000 $55,000
For Calendar Year 2022 2021 2020 2019 2018
401(k) Deferral Limit $20,500 $19,500 $19,500 $19,000 $18,500
401(k) “Catch-Up” Contribution * $6,500 $6,500 $6,500 $6,000 $6,000
SIMPLE Deferral Limit $14,000 $13,500 $13,500 $13,000 $12,500
SIMPLE “Catch-Up” Contribution $3,000 $3,000 $3,000 $3,000 $3,000

* Applies to Participants who have their 50th birthday (or older) during the calendar year.