Keeping up with Annual Defined Contribution
Plan Limits

The table below provides key limits for retirement plans.

Every year, the Internal Revenue Service reviews the dollar limitations for retirement plans and other similar items and announces cost-of-living adjustments.

IRS Limits

Item

2025

2024

2023

401(k) / 403(b) Elective Deferrals

$23,500

$23,000

$22,500

Catch-Up Contributions

$7,500

$7,500

$7,500

New SECURE 2.0 Catch-Up Deferral (Age 60-63)

$11,250

NA

NA

Annual Compensation Limit

$350,000

$345,000

$330,000

Annual Contribution Limit

$70,000

$69,000

$66,000

Annual Benefit Limit

$280,000

$275,000

$265,000

Highly Compensated Employee (SBJPA Simplified Definition)

$160,000

$155,000

$150,000

Social Security Wage Base

$176,100

$168,600

$160,200

At PNC Institutional Asset Management® (IAM), we help plan sponsors understand and meet their fiduciary obligations. We serve as a retirement plan advisor to companies and offer financial education to their employees. Our team would love to provide a free review of your retirement plan and share the latest research on building effective employee financial education campaigns.