Announcing 2018 Retirement Plan Contribution Limits

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

For calendar year 2018, many limitations are changing. The table below provides key limits for 2018 and 2017:

Item

2018

2017

401(k)/403(b) Elective Deferrals

$18,500

$18,000

Annual Compensation Limit

$275,000

$270,000

Annual Contribution Limit

$55,000

$54,000

Annual Benefit Limit

$220,000

$215,000

Highly Compensated Employee (SBJPA Simplified Definition)

$120,000

$120,000

Social Security Wage Base

$128,400

$127,200

Catch-Up Contributions

$6,000

$6,000

 

For more information as well as the complete IRS announcement:

IRS Notice 2017-64 issued October 19, 2017

2018 Social Security COLA (Updated December 14, 2017)

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The material presented in this newsletter is of a general nature and does not constitute the provision by PNC of investment, legal, tax, or accounting advice to any person, or a recommendation to buy or sell any security or adopt any investment strategy. Opinions expressed herein are subject to change without notice. The information was obtained from sources deemed reliable. Such information is not guaranteed as to its accuracy.

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