TOP
Experts in Personalized Retirement Plan Design & Administration

2023 Retirement COLA Limits

With the release of IRS Notice 2022-55, the IRS has set the retirement plan limits for the 2023 plan year. On October 21, 2022, the Internal Revenue Service announced cost of living adjustments affecting dollar limitations (“COLA Limits”) for pension plans and other retirement-related items for the tax year 2023.

Type of Limitation20232022
401(k), 403(b), 457 Maximum Annual Elective Deferral Limit$22,500$20,500
401(k), 403(b), 457 Catch-Up Contribution Limit (Age 50+)$7,500$6,500
Annual Defined Contribution Limit$66,000$61,000
Annual Defined Benefit Plan Limit$265,000$245,000
Annual Compensation Limit (deduction, benefit, contribution)$330,000$305,000
SIMPLE Contribution Limit$15,500$14,000
SIMPLE Catch-Up Contributions (Age 50+)$3,500$3,000
Highly Compensated Employee Threshold$150,000$135,000
Key Employee/Officer Compensation in a Top-Heavy Plan$215,000$200,000
Income Subject to Social Security$160,200$147,000

For full details on the pension plan limits for 2023, visit the IRS website. Annual contribution rates are based on the IRS 2023 retirement plan limitations and are subject to change.

Share This!
WordPress › Error

There has been a critical error on this website.

Learn more about troubleshooting WordPress.