The Internal Revenue Service has announced the 2009 maximum adjustments applicable to dollar limitations on benefits from and contributions to qualified retirement plans.
|
2009 Maximum Adjustments |
2008 |
2009 |
|
IRAs |
$5,000 |
$5,000 |
|
IRA 50+ Catch-up |
$1,000 |
$1,000 |
|
SIMPLE |
$10,500 |
$11,500 |
|
SIMPLE 50+ Catch-up |
$2,500 |
$2,500 |
|
Annual compensation limit for computing certain benefits & contributions |
$230,000
|
$245,000
|
|
Maximum annual additions per participant in a defined contribution plan |
$46,000
|
$49,000
|
|
Elective deferrals (401(k), 403(b) & 457 plans) |
$15,500 |
$16,500 |
|
Elective deferrals (401(k), 403(b) & 457 plans)
50+ Catch-up |
$5,000
|
$5,500
|
|
Compensation amount used in defining highly compensated employees |
$105,000
|
$110,000
|
|
Maximum annual benefit under a defined benefit plan |
$185,000 |
$195,000 |
|
Social Security Taxable Wage Base |
$102,000 |
$106,800 |
*Note: Since 401(k) Catch-up contribution are not annual addition, a participant deferring the maximum of 5,500 catch-up could receive total allocations up to $54,500 for 2009.
Please call us if you have any questions or for more information about these adjustments.