888-401kinc Annual Limit on Contributions and Compensation
| Type of Limitation | 2017 | 2016 | 2015 |
| ANNUAL COMPENSATION LIMIT: | |||
| Qualified Plans | 270,000 | 265,000 | 265,000 |
| SAR SEP | 270,000 | 265,000 | 265,000 |
| SEP Compensation Limit (minimum) | 600 | 600 | 600 |
| SEP Compensation Limit (maximum) | 270,000 | 265,000 | 265,000 |
| LIMITS ON BENEFITS & CONTRIBUTIONS: | |||
| Defined Contribution Plans (see note 1) | 54,000 | 53,000 | 53,000 |
| Defined Benefit Plans (see note 1) | 215,000 | 210,000 | 210,000 |
| 401(k), 403(b), 457(b)(2) and 457(c)(1) (see note 2) | 18,000 | 18,000 | 18,000 |
| SIMPLE Plans | 12,500 | 12,500 | 12,500 |
| IRA | 5,500 | 5,500 | 5,500 |
| CATCH-UP CONTRIBUTIONS: | |||
| 401(k), 403(b), 457(b)(2) and 457(c)(1) (see note 3) | 6,000 | 6,000 | 6,000 |
| SIMPLE Plans | 3,000 | 3,000 | 3,000 |
| IRA | 1,000 | 1,000 | 1,000 |
| Highly Compensated Threshold | 120,000 | 120,000 | 120,000 |
| KEY EMPLOYEE THRESHOLD: | |||
| Officer | 175,000 | 170,000 | 170,000 |
| 1% Owner | 150,000 | 150,000 | 150,000 |
| SOCIAL SECURITY: | |||
| Income Subject to Social Security Tax | 127,200 | 118,500 | 118,500 |
| Tax Rate | 6.20% | 6.20% | 6.20% |
| Medicare Tax Rate | 1.45% | 1.45% | 1.45% |
| Combined Rate | 7.65% | 7.65% | 7.65% |
| OTHER: | |||
| Tax Credit ESOP Threshold Bal | 1,080,000 | 1,070,000 | 1,070,000 |
| Amount for Lengthening of 5 yr ESOP Period | 215,000 | 210,000 | 210,000 |
1 Effective for limitation years ending in calendar year
2 Effective for limitation years beginning in calendar year
3 Catch up contributions may only be made after the annual deferrals have been maximized either based on the annual limit, or a limitation imposed by your plan document.
