IRS Announces 2012 Pension and Related Limitations
October 26, 2011
On October 20, 2011, the Internal Revenue Service announced the dollar limitations for pension plans and other items beginning January 1, 2012. Some of the limits, which had been largely unchanged since 2009, are listed below.
| Limitation | 2011 Amount | 2012 Amount | |
|
Maximum Annual Compensation taken into account for determining benefits or contributions to a qualified plan |
$245,000 | $250,000 | |
|
Basic Elective Deferral Limitation for 401(k), 403(b) and 457(b) Plans |
$16,500 | $17,000 | |
|
Catch-up Contribution Limit for Persons Age 50 and older in 401(k), |
$5,500 |
$5,500 |
|
|
Limitation on Annual Additions to a Defined Contribution Plan |
$49,000 | $50,000 | |
| Limitation on Annual Benefits from a Defined Benefit Plan |
$195,000 | $200,000 | |
| Highly Compensated Employee Compensation Threshold |
$110,000 | $115,000 | |
| SEP Compensation Threshold | $550 | $550 | |
| Social Security Taxable Wage Base for Social Security Tax (6.2%) For Medicare Tax (1.45%) |
|
|
|
| Health Savings Accounts: | |||
|
$3,050 $6,150 $1,000 |
$3,100 $6,250 $1,000 |
