November 2, 2020
The IRS released updates to retirement plan limits in 2021 last week:
| 2021 Retirement Plan Limits | |||
| 2021 | 2020 | 2019 | |
| 401(k),403(b) and 457(b) Deferral Limits | $19,500 | $19,500 | $19,000 |
| 401(k) and 403(b) Catch-up Deferral Limits | $6,500 | $6,500 | $6,000 |
| Annual Limitation on Compensation | $290,000 | $285,000 | $280,000 |
| Defined Contribution Limitation | $58,000 | $57,000 | $56,000 |
| Defined Benefit Limitation | $230,000 | $230,000 | $225,000 |
| Highly Compensated Employee Compensation Threshold | $130,000 | $130,000 | $125,000 |
| Key Employee Compensation – Officer Threshold | $185,000 | $185,000 | $180,000 |
| SIMPLE Deduction | $13,500 | $13,500 | $13,000 |
| SIMPLE Catch-Up Contribution | $3,000 | $3,000 | $3,000 |
| IRA Contribution Limit | $6,000 | $6,000 | $6,000 |
| IRA Catch-Up Contribution Limit | $1,000 | $1,000 | $1,000 |
| Social Security Wage Base | $142,800 | $137,700 | $132,900 |