Retirement Place > Summary of Retirement Plan Contribution and Deduction Limits 2022 & 2021
Summary of Retirement Plans for Individuals, Small Business & Enterprise
Am I eligible to contribute to a retirement plan this year?
How much can I contribute to my retirement account this year?
Do I make too much money to contribute to an IRA or Roth?
View COLA adjusted dollar limitations on benefits and contributions below (IRA, 401(k), SEP, SIMPLE IRA, 403(b), 457(b), defined benefit):
IRAs - Traditional & Roth |
2022 |
2021 |
|---|---|---|
| IRA Contribution Limit | $6,000 | $6,000 |
| IRA Catch-Up Contributions | 1,000 | 1,000 |
Traditional IRA AGI Deduction Phase-out Starting at: |
2022 |
2021 |
| Joint Return | 109,000 | 105,000 |
| Single or Head of Household | 68,000 | 66,000 |
Roth IRA AGI Deduction Phase-out Starting at: |
2022 |
2021 |
| Joint Return | 204,000 | 198,000 |
| Single or Head of Household | 129,000 | 125,000 |
SEP IRAs |
2022 |
2021 |
| SEP Minimum Compensation | 650 | 650 |
| SEP Maximum Contribution 25% or | 61,000 | 58,000 |
| SEP Maximum Compensation | 305,000 | 290,000 |
SIMPLE Plans |
2022 |
2021 |
| SIMPLE Maximum Contributions | 14,000 | 13,500 |
| Catch-up Contributions | 3,000 | 3,000 |
401(k), 403(b), Profit-Sharing Plans, etc. |
2022 |
2021 |
| Annual Compensation | 305,000 | 290,000 |
| Elective Deferrals | 20,500 | 19,500 |
| Catch-up Contributions | 6,500 | 6,500 |
| Defined Contribution Limits | 61,000 | 58,000 |
ESOP Limits |
2022 |
2021 |
| Maximum Account Balance subject to Five-Year Distribution Period | 1,230,000 | 1,165,000 |
| Determining the Length of the General Five-Year Distribution Period | 245,000 | 230,000 |
Other Important Limits |
2022 |
2021 |
| HCE Threshold (Highly Compensated Employee) | 135,000 | 130,000 |
| Defined Benefit Limits | 245,000 | 230,000 |
| Key Employee | 200,000 | 185,000 |
| 457 Elective Deferrals | 20,500 | 19,500 |
| Control Employee (board member or officer) | 120,000 | 115,000 |
| Control Employee (compensation-based) | 245,000 | 235,000 |
| Taxable Wage Base | 147,000 | 142,800 |
Tax laws place limits on the dollar amount of contributions that you can make to retirement plans and IRAs as well as the amount of benefits under a pension plan. IRC Section 415 requires the limits to be adjusted annually for cost-of-living increases. Learn more about these limits and COLA adjustments via the IRS official website:
- For more on limits by plan type please visit our individual pages for Traditional and Roth IRAs, 401(k), SEP, SIMPLE IRAs and defined benefit plans.
- 2022 cost-of-living adjustments for pension plans and retirement-related items (IR-2020-244)
- COLA 2022 Table PDF for prior years' dollar limitations and Internal Revenue Code references.
Source: IRS.gov
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Page Last Reviewed or Updated: 16-Jan-2022
