IRA Contribution Limits for 2017 – Unchanged at
$5,500 and $6,500; 401(k) Limits Unchanged Also
Inflation was approximately .3% for the
fiscal quarter ending September 30, 2016,
so many of the IRA and pension limits as
adjusted by the cost of living factor have
not changed or the changes have been
quite small.
The maximum IRA contribution limits
for 2017 for traditional and Roth IRAs did
not change – $5,500/$6,500.
The 2017 maximum contribution limit
for SEP-IRAs is increased to $54,000 (or,
25% of compensation, if lesser) up from
$53,000. The minimum SEP contribution
limit used to determine if an employer
must make a contribution for a part-time
employee remains the same at $600.
The 2017 maximum contribution limits
for SIMPLE-IRAs is unchanged at $12,500
if the individual is under age 50 and
$15,500 if age 50 or older.
The 2017 maximum elective deferral
limit for 401(k) participants is unchanged
at $18,000 for participants under age 50
and $24,000 for participants age 50 and
older.
Contribution limits for a person who
is not age 50 or older. |
Tax Year |
Amount |
2008-12 |
$5,000 |
2013-17 |
$5,500 |
Contribution limits for a person who
is age 50 or older. |
Tax Year |
Amount |
2008-12 |
$6,000 |
2013-17 |
$6,500 |
IRS Issues 2017 IRA/Pension Limits |
IRS Announces Cost-of-Living Adjustments for 2017 |
The IRS in Notice 2016-62 Released its 2017 Adjustments as Follows: |
|
|
|
|
|
|
2014 |
2015 |
2016 |
2017 |
Taxable Wage Base — OASDI Only |
$11700 |
$118500 |
$118500 |
$127200 |
SEP and Qualified Plan |
|
|
|
|
Maximum Compensation Cap – 401(a)(17) & 404(e) |
$260000 |
$265000 |
$265000 |
$270000 |
Elective (Salary) Deferral Limit – 401(k) & SAR-SEP |
$17500 |
$18000 |
$18000 |
$18000 |
Elective Deferral Catch-up Limit |
$5500 |
$6000 |
$6000 |
$6000 |
SIMPLE Deferral Limit – 408(p)(2)(A) |
$12000 |
$12500 |
$12500 |
$12500 |
SIMPLE Catch-up Limit |
$2500 |
$3000 |
$3000 |
$3000 |
Highly-Compensated Employees (Compensation as Indexed |
$115000 |
$120000 |
$120000 |
$120000 |
Defined Benefit Limit – Section 415(b)(1)(A) |
$210000 |
$210000 |
$210000 |
$215000 |
Defined Contribution Limit – Section 415(c)(1)(A) |
$52000 |
$53000 |
$53000 |
$54000 |
SEP Minimum Compensation Threshold – 408(k)(2)(c) |
$550 |
$600 |
$600 |
$600 |
Key Employee Top Heavy — 41(i)(ii)(a)(i) |
$170000 |
$170000 |
$170000 |
$175000 |