The IRS announced the updated retirement plan limits for 2022. Below, we highlight the notable DC plan limits:
- After no change in the prior year, the annual contribution limit will increase from $19,500 to $20,500.
- There will be no change to the age 50 annual catch-up contribution limit, which will remain at $6,500.
- The annual compensation limit will increase from $290,000 to $305,000.
- The Section 415(c) limit will increase from $58,000 to $61,000.
- The highly compensated employee threshold will increase from $130,000 to $135,000.
Visit the IRS publication to learn more.
