The tax law places limits on the dollar amount of contributions to retirement plans and IRAs and the amount of benefits under a pension plan. IRC Section 415 requires the limits to be adjusted annually for cost-of-living increases. Limits by plan type (IRA, 401(k), SEP, SIMPLE IRA, 403(b), 457(b), defined benefit) 2021 cost-of-living adjustments for pension plans and retirement-related items (IR-2020-244) COLA Table PDF for prior years' dollar limitations and Internal Revenue Code references. IRAs 2021 2020 2019 IRA Contribution Limit $6,000 $6,000 $6,000 IRA Catch-Up Contributions 1,000 1,000 1,000 Traditional IRA AGI Deduction Phase-out Starting at 2021 2020 2019 Joint Return 105,000 104,000 103,000 Single or Head of Household 66,000 65,000 64,000 SEP 2021 2020 2019 SEP Minimum Compensation 650 600 600 SEP Maximum Contribution 58,000 57,000 56,000 SEP Maximum Compensation 290,000 285,000 280,000 SIMPLE Plans 2021 2020 2019 SIMPLE Maximum Contributions 13,500 13,500 13,000 Catch-up Contributions 3,000 3,000 3,000 401(k), 403(b), Profit-Sharing Plans, etc. 2021 2020 2019 Annual Compensation 290,000 285,000 280,000 Elective Deferrals 19,500 19,500 19,000 Catch-up Contributions 6,500 6,500 6,000 Defined Contribution Limits 58,000 57,000 56,000 ESOP Limits 1,165,000 230,000 1,150,000 230,000 1,130,000 225,000 Other 2021 2020 2019 HCE Threshold 130,000 130,000 125,000 Defined Benefit Limits 230,000 230,000 225,000 Key Employee 185,000 185,000 180,000 457 Elective Deferrals 19,500 19,500 19,000 Control Employee (board member or officer) 115,000 115,000 110,000 Control Employee (compensation-based) 235,000 230,000 225,000 Taxable Wage Base 142,800 137,700 132,900 Topics for Retirement Plans Individual Retirement Arrangements (IRAs) Types of Retirement Plans Retirement Topics — Required Minimum Distributions (RMDs) Retirement Plans Frequently Asked Questions (FAQs) Retirement Plan Forms and Publications Correcting Plan Errors Retirement Topics Tax Exempt & Government Entities Division At-a-Glance Retirement Plans
