On October 23, 2014, the IRS announced cost-of-living adjustments for 2015 retirement plan contributions. For 2015, the amounts that individuals will be able to contribute to retirement plans will increase $500 to $18,000. The catch-up contribution limit for employees age 50 and over will also increase $500 to $6,000.
This chart summarizes the limitations for 2015:
| Contribution Limits | 2015 | 2014 |
| Elective Deferral Limit – 401(k), 403(b) and 457(b) Plans | $18,000 | $17,500 |
| Catch-Up Contribution Limit | $6,000 | $5,500 |
| Elective Deferral Limit – SIMPLE Retirement Plan | $12,500 | $12,000 |
| Catch-Up Contribution Limit – SIMPLE Retirement Plan | $3,000 | $2,500 |
| Contribution Limit – IRA | $5,500 | $5,500 |
| Catch-Up Contribution Limit – IRA | $1,000 | $1,000 |
| Benefits and Compensation | ||
| Defined Contribution Plan Annual Addition Limit | $53,000 | $52,000 |
| Defined Benefit Plan Annual Benefit Limit | $210,000 | $210,000 |
| Annual Compensation Limit | $265,000 | $260,000 |
| Highly Compensated Employee Limit | $120,000 | $115,000 |
| Key Employee Compensation Limit | $170,000 | $170,000 |
The Social Security Administration earlier announced that the Social Security Wage Base for 2015 will increase to $118,500 from $117,000.
If you have questions about the new pension plan limitations, please contact Edie Crump (937-449-5530).
