News
Dollar Limitations for Employee Benefit Plans
Employee Benefits & Executive Compensation
The IRS annually adjusts the dollar limits for contributions and benefits in retirement and certain deferred compensation plans and for health and welfare plans. The IRS recently announced the new dollar limits for 2022. (printer-friendly version)
| Retirement Plan Limits | ||
| 2021 Limit | 2022 Limit | |
| Maximum 401(k), 403(b) and 457(b) Elective Deferral ⬆ | $19,500 | $20,500 |
| Maximum Catch-Up Contribution Age 50 and Older ⬌ | $6,500 | $6,500 |
| Highly Compensated Employee Threshold ⬆ | $130,000 | $135,000 |
| Maximum Compensation to Determine Contributions and Benefits ⬆ | $290,000 | $305,000 |
| Defined Contribution Plan Annual Contribution Limit ⬆ | $58,000 | $61,000 |
| Defined Benefit Plan Annual Benefit Limit ⬆ | $230,000 | $245,000 |
| Top Heavy Key Employee Threshold ⬆ | $185,000 | $200,000 |
| Social Security Taxable Wage Base ⬆ | $142,800 | $147,000 |
| Welfare Plan Limits | ||
| Health Savings Account Maximum Contributions (single/family) ⬆ | $3,600/$7,200 | $3,650/$7,300 |
| Health Savings Account Max Catch-Up Contribution Age 55 & Older ⬌ | $1,000 | $1,000 |
| Health Flexible Spending Account Maximum ⬆ | $2,750 | $2,850 |
| Dependent Care Flexible Spending Account Maximum ⬌ | $5,000 | $5,000 |
| HDHP Minimum Deductibles (single/family) ⬌ | $1,400/$2,800 | $1,400/$2,800 |
| HDHP Maximum Out-of-Pocket Amounts (single/family) ⬆ | $7,000/$14,000 | $7,050/$14,100 |
| Maximum Monthly Qualified Transportation/Parking Fringe Benefit ⬆ | $270 | $280 |
If you have any questions about this alert, please call 919.781.4000 or e-mail your Wyrick Robbins contact or a member of our Employee Benefits and Executive Compensation group.