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Annual Plan Limits

LIMITATION TYPE 2025 2024 2023 2022
Elective Deferrals (401(k) and 403(b); not including adjustments and catch-ups) $23,500 $23,000 $22,500 $20,500
457(b)(2) and 457(c)(1) Limits (not including catch-ups) $23,500 $23,000 $22,500 $20,500
Section 414(v) Catch-Up Contributions (Age 50+) $7,500 $7,500 $7,500 $6,500
Catchup Contributions (Age 60-63) $11,250 N/A N/A N/A
Defined Benefit Plans $280,000 $275,000 $265,000 $245,000
Defined Contribution Plans (annual additions limit) $70,000 $69,000 $66,000 $61,000
Annual Compensation Limit $350,000 $345,000 $330,000 $305,000
Annual Compensation Limit for Grandfathered Participants in Governmental Plans Which Followed 401(a)(17) Limits (With Indexing) on July 1, 1993 $520,000 $505,000 $490,000 $450,000
Highly Compensated Employee (“HCEs”) $160,000 $155,000 $150,000 $135,000
Key Employee/Officer $230,000 $220,000 $215,000 $200,000
Individual Retirement Accounts (“IRAs”), for individuals 49 and below $7,000 $7,000 $6,500 $6,000
Individual Retirement Accounts (“IRAs”), for individuals 50 and above $8,000 $8,000 $7,500 $7,000
SIMPLE Retirement Accounts $16,500 $16,000 $15,500 $14,000
SEP Coverage $750 $750 $750 $650
SEP Compensation $350,000 $345,000 $330,000 $305,000
Tax Credit ESOP Maximum Balance $1,415,000 $1,380,000 $1,330,000 $1,230,000
Amount for Lengthening of 5-Year ESOP Period $280,000 $275,000 $265,000 $245,000
Maximum Amount for Qualified Longevity Annuity Contract Purchases $210,000 $200,000 $155,000 $145,000
Income Subject to Social Security Tax $168,600 $168,600 $160,200 $147,000
FICA Tax for employers 7.65% 7.65% 7.65% 7.65%
FICA Tax for employees 7.65% 7.65% 7.65% 7.65%
Social Security Tax for employers 6.20% 6.20% 6.20% 6.20%
Social Security Tax for employees 6.20% 6.20% 6.20% 6.20%
Medicare Tax for employees and employers 1.45% 1.45% 1.45% 1.45%
SECA Tax for self-employed workers 15.30% 15.30% 15.30% 15.30%
Social Security Tax for self-employed workers 12.40% 12.40% 12.40% 12.40%
Medicare Tax for self-employed workers 2.90% 2.90% 2.90% 2.90%