The IRS just released the cost of living adjustments for various retirement plan limitations that will take effect on January 1, 2017. Most of the limits will not be increasing for 2017. The Consumer Price Index, on which these limits are based, went up on 3% during 2016. However, there were some limits that increased (shown below in bold italics), notably the compensation that is taken into account for plan purposes and the total amount that can be contributed on behalf of any participant in a defined contribution (including 401(k) plan. The 2017 and current limits are as follows:
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- Posted by Ilene Ferenczy
- On October 31, 2016