IRS Retirement Plan Contribution Limits

February 03, 2020

To make it possible for voluntary retirement savings to keep up with inflation, the various numerical limits embedded within qualified retirement plans are indexed for inflation.

In November, the IRS announced the numbers that will apply in 2019, as shown in the following table:

Plan2018 Limits2019 Limits2020 Limits
401(k) and 403(b) employee deferral limit$18,500$19,000$19,500
457 employee deferral limit (most plans)$18,500$19,000$19,500
Catch-up contribution dollar limit (50 and better)$6,000$6,000$6,500
Defined contribution dollar limit$55,000$56,000$57,000
Defined benefit dollar limit$220,000$225,000$230,000
Compensation limit$275,000$280,000$285,000
Highly compensated employee income limit$120,000$125,000$130,000
Key employee in a top-heavy plan$175,000$180,000$185,000
Roth & Traditional IRA$5,500$6,000$6,000
Roth & Traditional IRA catch-up (50 and better)$1,000$1,000$1,000

Legal, Investment and Tax Notice: This information is not intended to be and should not be treated as legal advice or tax advice. Readers should under no circumstances rely upon this information as a substitute for their own research or for obtaining specific legal or tax advice from their own counsel.