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The IRS highlighted the following adjustments taking effect on January 1, 2015:

For 401(k), 403(b) and most 457 plans, the COLA increases for dollar limits on benefits and contributions are as follows:

Defined Contribution Plan Limits

2015

 

2014

Maximum employee elective deferral

$18,000

 

$17,500

Employee catch-up contribution (ages 50 and older)

$6,000

 

$5,500

Defined contribution maximum limit, all sources

$53,000

 

$52,000

Defined contribution maximum limit (ages 50 and older)

$59,000

 

$57,500

Employee compensation limit for calculating contributions

$265,000

 

$260,000

Compensation of “key employees” in a top-heavy plan (unchanged)

$170,000

 

$170,000

Compensation of “highly compensated employees”
in a top-heavy plan (HCE threshold)

$120,000

 

$115,000

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