IRS Updated Plan Limits for 2016
IRS has announced the retirement plan and employee benefits limits for 2016. Most of the limits are unchanged. The exception is the HSA Maximum Contribution for Family increased $100 to $6,750. Here is a chart showing the limits for 2014 through 2016:
| Type of Limitation | 2016 | 2015 | 2014 |
| 415 Defined Benefit Plans | $210,000 | $210,000 | $210,000 |
| 415 Defined Contribution Plans | $53,000 | $53,000 | $52,000 |
| 401(k) Elective Deferrals, 457(b) and 457(c)(1) | $18,000 | $18,000 | $17,500 |
| 401(k) Catch-Up Deferrals | $6,000 | $6,000 | $5,500 |
| SIMPLE Employee Deferrals | $12,500 | $12,500 | $12,000 |
| SIMPLE Catch-Up Deferrals | $3,000 | $3,000 | $2,500 |
| Annual Compensation Limit | $265,000 | $265,000 | $260,000 |
| SEP Minimum Compensation | $600 | $600 | $550 |
| SEP Annual Compensation Limit | $265,000 | $265,000 | $260,000 |
| Highly Compensated | $120,000 | $120,000 | $115,000 |
| Key Employee (Officer) | $170,000 | $170,000 | $170,000 |
| Income Subject To Social Security Tax (FICA) | $118,500 | $118,500 | $117,000 |
| Social Security (FICA) Tax For ER & EE (each pays) | 6.20% | 6.20% | 6.20% |
| Social Security (Med. HI) Tax For ERs & EEs (each pays) | 1.45% | 1.45% | 1.45% |
| SECA (FICA Portion) for Self-Employed | 12.40% | 12.40% | 12.40% |
| SECA (Med. HI Portion) For Self-Employed | 2.9% | 2.90% | 2.90% |
| IRA Contribution | $5,500 | $5,500 | $5,500 |
| IRA catch-up Contribution | $1,000 | $1,000 | $1,000 |
| HSA Max Single/Family | $3,350/6,750 | $3,350/6,650 | $3,300/6,550 |
| HSA Catchup | $1,000 | $1,000 | $1,000 |
| HSA Min. Annual Deductible Single/Family | $1,300/2,600 | $1,300/2,600 | $1,250/2,500 |