Uniglobal can help you and your organization prepare for what's next.
The IRS released the cost of living adjustments (COLA) for various retirement plan limitations that will take effect on January 1, 2022.
2022 welcomes several significant increases; primary of which are deferrals, compensation, and annual additions.
|Plan Section Limit||2021||2022|
|Maximum Defined Contribution Annual Additions||$58,000||$61,000|
|Salary Deferral 401(k)/403(b) Limit||$19,500||$20,500|
|Maximum Compensation for Retirement Plan Purposes||$290,000||$305,000|
|HCE Compensation Limit||$130,000||$135,000|
|Key Employee Officer||$185,000||$200,000|
|Key Employee 1% Owner||$150,000||$150,000|
|Social Security Taxable Wage Base||$142,800||$147,000|
Learn more about these increases and how they impact your retirement plan by contacting Uniglobal and your Uniglobal consultant.
Additional information on limit changes for 2022 can be found in IRS Notice 2021-61. The IRS page IRS announces 401(k) limit increases to $20,500 expands on the highlights in this post. The IRS also provides a tool if you’d like to get a Retirement Savings Check-Up.