Legislative and Regulatory

IRS Announces 2012 Retirement Plan Limits (Oct 20, 2011)

Instant Insights (Oct. 20, 2011)

IRS Announces 2012 Retirement Plan Limits

 

2012

2011

2010

2009

Limit on 401(k) and 403(b) Elective Deferrals*

 $17,000

  $16,500

  $16,500

  $16,500

Limit on Deferrals to 457 Plan*

 $17,000

 $16,500

 $16,500

  $16,500

Catch-up Contribution for 401(k), 403(b), 457, SARSEP*

 $5,500

 $5,500

 $5,500

 $5,500

Defined Contribution Plan Maximum Annual Addition

 $50,000

 $49,000

 $49,000

 $49,000

Defined Benefit Plan Maximum Benefit

 $200,000

 $195,000

 $195,000

 $195,000

Compensation Limit

 $250,000

 $245,000

 $245,000

 $245,000

Definition of Highly Compensated Employee**

 $115,000

 $110,000

 $110,000

 $110,000

Definition of Key Employee Officer

$165,000

$160,000

$160,000

$160,000

Social Security Taxable Wage Base (OASDI)***

$110,100 

$106,800

  $106,800

  $106,800

  
 Individual Retirement Account (IRA)

 

2012

2011

2010

2009

Maximum IRA contributions

 $5,000

 $5,000

 $5,000

 $5,000

IRA catch-up contribution

 $1,000

 $1,000

 $1,000

 $1,000

Download plan limits PDF

* Limits on these items are indexed for inflation in $500 increments rounded to the nearest lower multiple of $500.
** Because of the look-back rule, the dollar limit applies in determining Highly Compensated Employees in the following year (i.e., compensation in 2012 is used to determine HCE status for 2013)..
*** No limit for Medicare tax. 

This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for investment, accounting, legal or tax advice.

IRS Circular 230 Disclosure: This communication was written in connection with the potential promotion or marketing, to the extent permitted by applicable law, of the transaction(s) or matter(s) addressed herein by persons unaffiliated with JPMorgan Chase & Co.  However, JPMorgan Chase & Co. and its affiliates do not provide tax advice.  Accordingly, to the extent this communication contains any discussion of tax matters, such communication is not intended or written to be used, and cannot be used, for the purpose of avoiding tax-related penalties.  Any recipient of this communication should seek advice from an independent tax advisor based on the recipient's particular circumstances.

 
 

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