COST-OF-LIVING ADJUSTMENTS

COST-OF-LIVING ADJUSTMENTS

2016

Pension Plan and Related Limits	2015	2016
Pre-tax elective deferral maximum under IRC § 401(k), 403(b), and 457(b) plans	$18,000	$18,000
Age 50 and older “catch-up” adjustment for 401(k), 403(b), and governmental 457(b) plans and SEPs	$6,000	$6,000
Annual compensation limit under IRC §§ 401(a)(17), 404(l) and 408(k)	$265,000	$265,000
Annual benefit limit for defined benefit plans under IRC § 415(b)	$210,000	$210,000
Annual contribution limit for defined contribution plans under IRC § 415(c)	$53,000	$53,000
Highly compensated employee threshold for purposes of testing in the following year under IRC § 414(q)(1)(B)	$120,000	$120,000
Key employee threshold for officers for top heavy plan under IRC § 416(i)(1)(A)(i)	$170,000	$170,000
IRC § 430(c)(7)(D)(i)(II) amount for determining excess employee compensation for single-employer defined benefit plans where election has been made	$1,101,000	$1,106,000
ESOP account balance for five-year and one-year distribution rule under IRC § 409(o)(1)(C)(ii)	$1,070,000 and $210,000	$1,070,000 and $210,000
SEP pension compensation threshold under IRC § 408(k)	$600	$600
SIMPLE plan elective deferral limit under IRC § 408(p)(2)(E)	$12,500	$12,500
SIMPLE plan age 50 catch-up	$3,000	$3,000
Basic IRA/Roth IRA contribution limitation under IRC § 219(b)/§ 408A (age 50 $1,000 catch-up for IRAs does not have cost-of-living adjustment)	$5,500	$5,500
Phase-out for deductions for IRA for married couples filing jointly, in which the spouse who makes the IRA contribution is an active participant in an employer-sponsored retirement plan	$98,000 to $118,000	$98,000 to $118,000
Adjusted gross income (AGI) phase-out range for married joint filers taxpayers making contributions to a Roth IRA	$183,000 to $193,000	$184,000 to $194,000
AGI limit for retirement savings contributions (saver's) credit for married couples filing jointly	$61,000	$61,500
Health Savings Account contribution limits (single and family)	$3,350 and $6,650	$3,350 and $6,750
Maximum monthly benefit guarantee by PBGC	$5,011.33	$5,011.33
PBGC flat-rate premium for a single-employer plans (as amended by MAP-21 2012 legislation)	$57	$64
Taxable wage base subject to FICA tax	$118,500	$118,500