Retirement topics - 457(b) contribution limits

 

A 457(b) plan’s annual contributions and other additions (excluding earnings) to a participant’s account cannot exceed the lesser of:

  1. 100% of the participant's includible compensation, or
  2. the elective deferral limit ($23,000 in 2024; $22,500 in 2023; $20,500 in 2022; $19,500 in 2020 and in 2021).

Increases to the general annual contribution limit:

  • 457(b) plans of state and local governments may allow catch-up contributions for participants who are aged 50 or older.
     
  • Special 457(b) catch-up contributions, if permitted by the plan, allow a participant for 3 years prior to the normal retirement age (as specified in the plan) to contribute the lesser of:
     
    • the elective deferral limit ($23,000 in 2024; $22,500 in 2023; $20,500 in 2022; $19,500 in 2020 and in 2021).
    • the basic annual limit plus the amount of the basic limit not used in prior years (only allowed if not using age 50 or over catch-up contributions)

Related

Publication 4484, Choose a Retirement Plan for Employees of Tax-Exempt Government Entities PDF