2021 Contribution Limits for Retirement Plans and IRA’s
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| Compensation | $305,000 | $290,000 | $285,000 | $280,000 |
Limits on benefits and contributions:
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| Defined contribution plans | $61,000 | $58,000 | $57,000 | $56,000 |
| Defined benefit plans | $245,000 | $230,000 | $230,000 | $225,000 |
| 401(k), 403(b) and 457 plan Elective deferrals | $20,500 | $19,500 | $19,500 | $19,000 |
| SIMPLE plan elective deferrals | $14,000 | $13,500 | $13,500 | $13,000 |
| IRA Contribution Limits | $6000 | $6000 | $6,000 | $5,500 |
Catch-up contribution limits
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| 401(k), 403(b) and 457 plans | $6,500 | $6,500 | $6,000 | $6,000 |
| SIMPLE plans | $3,000 | $3,000 | $3,000 | $3,000 |
| IRA | $1,000 | $1,000 | $1,000 | $1,000 |
“Highly Compensated” definition
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| Income | $135,000 | $130,000 | $130,000 | $125,000 |
“Key Employee” definition:
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| Officer | $200,000 | $185,000 | $185,000 | $180,000 |
| 1% owner | $150,000 | $150,000 | $150,000 | $150,000 |
Social Security:
| 2022 | 2021 | 2020 | 2019 | |
|---|---|---|---|---|
| Taxable wage base | $147,000 | $142,800 | $137,700 | $132,900 |
| Social Security tax rate | 6.20% | 6.20% | 6.20% | 6.20% |
| Medicare tax rate | 1.45% | 1.45% | 1.45% | 1.45% |
| Combined tax rate | 7.65% | 7.65% | 7.65% | 7.65% |