Contribution Limits 2020-2021

Limits for Qualified Defined Contribution Plans

	Calendar Year
	2020	2021
Employee Salary Deferral Limit to 401(k) Plans Employee Catch-up Elective Contributions	$19,500 $6,500	$19,500 $6,500
Employee Salary Deferral Limit to 403(b) Plans Employee Catch-up Elective Contributions	$19,500 $6,500	$19,500 $6,500
Employee Salary Deferral Limit to SIMPLE 401(k) Plans Employee Catch-up Elective Contributions	$13,500 $3,000	$13,500 $3,000
Defined Contribution Maximum Annual Addition (IRC § 415 (c))	$57,000	$58,000
Definition of Highly Compensated Employees: Employee Compensation Exceeding (Prior Year) An employee owning more than (current and prior year) $130,000 5% $130,000 5%
Definition of Key Employees: Officers Earning in Excess of A more than 1% Owner Earning in Excess of An employee owning more than $185,000 $150,000 5% $185,000 $150,000 5%
FICA Taxable Wage Base	$137,700	$142,800
Maximum Compensation Limit	$285,000	$290,000
Employer’s Deductible Contributions	25%	25%