NEWS
Increased Contribution and Benefit Limits
Contribution and benefit limits are increased:
Annual Limit on 401(k)/403(b)/457 elective deferrals:
Year
Limit
2002
$11,000
2003
$12,000
2004
$13,000
2005
$14,000
2006
$15,000 (indexed in $500 increments thereafter)
Annual compensation limit increased from $170,000 to $200,000 in 2002, then indexed in $5000 increments thereafter.
Defined contribution IRC 415 limit increased to the lesser of 100% of pay or $40,000 (indexed in $1000 increments).
Defined benefit IRC 415 limit increased to the lesser of 100% of pay or $160,000 (indexed in $5000 increments).