2019 Retirement Plan Cost of Living Adjustments

November 7, 2018

The IRS has announced the cost-of-living adjustments (COLA’s) to the dollar limits on qualified retirement plan benefits set by the internal revenue code for the year 2019.

 

2019

2018

Maximum 401(k) Contribution

$19,000

$18,500

Maximum 403(b )/ 457(b) Contribution

$19,000

$18,500

Catch-up Contributions (age 50+) 401(k), 403(b), 457(b)

$6,000

$6,000

Defined Benefit Dollar Limit 415(b)(1)

$225,000

$220,000

Defined Contribution 415 Maximum

$56,000

$55,000

SIMPLE Election Deferral Limit

$13,000

$12,500

Highly Compensated Employees’ Threshold

$125,000

$120,000

Key Employees:

·         An includable officer receiving compensation in excess of:

$180,000

$175,000

Annual Compensation Limit 401(a)

$280,000

$275,000

Social Security Taxable Wage Bases

  • Social Security
  •  Medicare

$132,900

No Limit

$128,400

No Limit

Social Security Tax Rates

  • Social Security
  • Medicare
  • Combined Rate

6.20%

1.45%

7.65%

6.20%

1.45%

7.65%

Self-Employed Combined Rate

15.30%

15.30%

IRA/Roth IRA Contribution Limit

$6,000

$5,500

Catch-up—Age 50+

$1,000

$1,000

AGI for Saver’s Credit Eligibility

$64,000 Joint

$32,000 Single

$48,000 Head of Household

$63,000 Joint

$31,500 Single

$47,250 Head of Household

 

Securities offered through MMA Securities LLC, member FINRA/SIPC, and a federally registered investment advisor. Main office: 1166 Avenue of the Americas, New York, NY 10036. Phone: (212) 345-5000. Variable insurance products distributed by MMA Securities LLC, CA 0K81142. Marsh & McLennan Insurance Agency LLC and MMA Securities LLC are affiliates owned by Marsh & McLennan Companies.

Securities offered through MMA Securities LLC, member FINRA/SIPC, and a federally registered investment advisor. Main office: 1166 Avenue of the Americas, New York, NY 10036. Phone: (212) 345-5000. Variable insurance products distributed by MMA Securities LLC, CA 0K81142. Marsh & McLennan Insurance Agency LLC and MMA Securities LLC are affiliates owned by Marsh & McLennan Companies.