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Cost of Living Adjustment (COLA) Limit

By Bolton Retirement November 7th, 2019

Cost of Living Adjustment (COLA) Limit

 

The IRS has released limits for Cost of Living Adjustments (COLAs) and the Social Security Administration has released the Social Security limits for 2020.  The limits for 2020 and 2019 are shown in the table below.

 

Code Sec. 2020 2019
Max benefit for DB plan 415(b)(1)(A) $230,000 $225,000
Max contribution for DC plan 415(c)(1)(A) $57,000 $56,000
Elective deferrals limit 402(g)(1) $19,500 $19,000
Catch-up contributions limit 414(v) $6,500 $6,000
Highly compensated employee limit 414(q)(1)(B)(i) $130,000 $125,000
Annual compensation limit 401(a)(17) $285,000 $280,000
IRA contributions 219(b)(5)(A) $6,000 $6,000
IRA catch-up limit 219(b)(5)(B) $1,000 $1,000
Deferral limits for DC plans of state and local governments 457(b)(2) & 457(c)(1) $19,500 $19,000
Definition of key employee in top-heavy plan 416(i)(1)(A)(i) $185,000 $180,000
HSA contribution limit (single) $3,550 $3,500
HSA contribution limit (family) $7,100 $7,000
HSA catch-up limit $1,000 $1,000
FSA contribution limit $2,750 $2,700
Social Security Wage Base $137,700 $132,900