401k and Retirement Plan Limits for the Tax Year 2017
On October 27, 2016, the Internal Revenue Service announced cost of living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2017.
Highlights of Limitations That Remain Unchanged From 2016
The contribution limit for employees who participate in 401k, 403(b), most 457 plans, and the federal government's Thrift Savings Plan remains unchanged at $18,000.
The catch-up contribution limit for employees aged 50 and over who participate in 401k, 403(b), most 457 plans, and the federal government's Thrift Savings Plan remains unchanged at $6,000.
The limit on annual contributions to an IRA remains unchanged at $5,500. The additional catch-up contribution limit for individuals aged 50 and over is not subject to an annual cost-of-living adjustment and remains $1,000.
The Limit on SIMPLE plan Employee Deferral is $12,500, and SIMPLE Plan Catch Up Contribution is $3,000.