Tucker Arensberg

2016 Employee Benefits Plan Limits

The IRS has announced the retirement plan limits for 2016. As you can see from the chart below, there are no changes from the limits set in 2015.

Code Section	2016	2015
401(a)(17)/404(l) – Annual Compensation	$265,000	$265,000
402(g)(1) – Elective Deferrals	18,000	18,000
408(k)(2)(C) – SEP Minimum Compensation	600	600
408(k)(3)(C) – SEP Maximum Compensation	265,000	265,000
408(p)(2)(E) – SIMPLE Maximum Contributions	12,500	12,500
409(o)(1)(C) – ESOP Maximum Account Balance	1,070,000	1,070,000
409(o)(1)(C) – ESOP Maximum Dollar Amount	210,000	210,000
414(q)(1)(B) – Highly Compensated Employee Threshold	120,000	120,000
414(v)(2)(B)(i) – Catch-up Contribution	6,000	6,000
414(v)(2)(B)(ii) – Catch-up Contribution – SIMPLE 401(k) Plans	3,000	3,000
415(b)(1)(A) – Defined Benefit Annual Benefit Limit	210,000	210,000
415(c)(1)(A) – Defined Contribution Annual Addition Limit	53,000	53,000
416(i)(1)(A)(i) – Key Employee Dollar Limit	170,000	170,000
457(e)(15) – 457(b) Salary Deferral Limit	18,000	18,000

The limits for Health Savings Accounts and High Deductible Health Plans, listed below, were announced earlier in the year.

Code Section	2016	2015
223(c) – HDHP Minimum Annual Deductible – Self-Only	$1,300	$1,300
223(c) – HDHP Minimum Annual Deductible – Family	2,600	2,600
223(c) – HDHP Out-of-Pocket Maximum – Self-Only	6,550	6,450
223(c) – HDHP Out-of-Pocket Maximum – Family	13,100	12,900
223(b) – HSA Maximum Contribution Limit – Self-Only	3,350	3,350
223(b) – HSA Maximum Contribution Limit – Family	6,750	6,650
223(b) – HSA Catch-Up Contribution Limit	1,000	1,000

October 27, 2015

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