March 5, 2019
2019 Retirement Plan Limits
Limits That Affect Your Retirement Plan
The IRS announces the Cost‐Of‐Living Adjustments to various retirement plan limits annually. The Social Security Administration also announces the Taxable Wage Base each year. The key 2019 Retirement Plan Limits (compared to the 2016, 2017, & 2018 limits) are presented below.
| Limit | 2019 | 2018 | 2017 | 2016 |
| 401(k) and 403(b) Elective Deferrals (amount of salary an eligible employee can defer into a 401(k) or 403(b) plan) | $ 19,000 | $ 18,500 | $ 18,000 | $ 18,000 |
| Catch-up Contributions (amount an eligible employee who turns 50+ in the plan year can contribute in addition to the 401(k) Elective Deferral) | 6,000 | 6,000 | 6,000 | 6,000 |
| DC Maximum Contribution (maximum annual contribution a participant can receive under a 401(k)/Profit Sharing plan, not including Catch-up contributions) | 56,000 | 55,000 | 54,000 | 53,000 |
| DB Maximum Annual Benefit (maximum annual benefit a participant can receive from a Defined Benefit plan at age 62; larger annual benefit possible after age 65) | 225,000 | 220,000 | 215,000 | 210,000 |
| Compensation Limit (maximum compensation used to determine benefits under a qualified retirement plan) | 280,000 | 275,000 | 270,000 | 265,000 |
| Highly Compensated Employee Compensation (compensation earned in prior year used to determine if a participant is Highly Compensated – e.g. if someone earns over $125,000 in 2019 they are an HCE in 2020) | 125,000 | 120,000 | 120,000 | 120,000 |
| Key Employee (Officer) Compensation (compensation earned in prior year used to determine if a participant is a Key Employee) | 180,000 | 175,000 | 175,000 | 170,000 |
| Social Security Wage Base | ||||
| Social Security Taxable Wage Base | $132,900 | $128,400 | $127,200 | $118,500 |
