By Mary Ellen Schill
October 27, 2016
Late each October, the IRS gets around to announcing the cost of living adjustments for qualified plans for the upcoming year. This year was no exception, and here they are [Plan Limits]. Unlike last year, 2017 brings some increases to the limits, like the increase in the compensation limit (the maximum amount of compensation a plan can take into account) from $265,000 to $270,000. For those looking to defer more, unfortunately the limit on elective deferrals (and the catch-up contribution limit) remains the same at $18,000 and $6,000, respectively.
The Social Security Administration earlier announced the new taxable wage base for 2017, and it has increased also, to $127,200.
So, enjoy these increases even without the usual pumpkin spice that everything seems to include this time of year!
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