The Internal Revenue Service has just announced the limits on retirement plan contributions and benefits for 2018.
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The limit on 401(k) contributions will be $18,500, an increase from $18,000 per year. The catch-up contribution limit for those who are 50 and over remains at $6,000.
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The limit on contributions to defined contribution retirement plans has risen to $55,000 from $54,000 per year.
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The amount of compensation that can be considered for retirement plan contribution purposes has risen from $270,000 per year to $275,000.
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The maximum annual benefit in defined benefit plans has risen from $215,000 per year to $220,000.
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For IRA contributions, the limit remains at $5,500 per year, with a $1,000 catch-up permitted for those 50 and over.
