PLAN LIMITS

 
2010 2009 2008 2007
Compensation $245,000 $245,000 $230,000 $225,000
Limits on benefits and contributions:
Defined benefit plans $195,000 $195,000 $185,000 $180,000
401(k), 403(b) and 457 plan elective deferrals $16,500 $16,500 $15,500 $15,500
SIMPLE plan elective deferrals $11,500 $11,500 $10,500 $10,500
IRA $5,000 $5,000 $5,000 $4,000
Catch-up contributions:
401(k), 403(b) and 457 plans $5,500 $5,500 $5,000 $5,000
SIMPLE plans $2,500 $2,500 $2,500 $2,500
IRA $1,000 $1,000 $1,000 $1,000
"Highly Compensated" definition $110,000 $110,000 $105,000 $100,000
"Key Employee" definition:
Officer $160,000 $160,000 $150,000 $145,000
1% owner $150,000 $150,000 $150,000 $150,000
Social Security:
Taxable wage base $106,800 $106,800 $102,000 $97,500
Social Security tax rate 6.20% 6.20% 6.20% 6.20%
Medicare tax rate 1.45% 1.45% 1.45% 1.45%
Combined tax rate 7.65% 7.65% 7.65% 7.65%

Bond . . . ERISA bond

Many nonprofit organizations offer 403(b) plans to their employees, just as for-profit businesses offer 401(k) plans. In the past, 403(b) sponsors had a ... READ MORE


Busy CEO's rarely have time to learn how their 401(k) operates. The job of managing the 401(k) plan is delegated which creates liability for the company officers. Understanding the terminology and the concepts inherent with retirement plans will keep you out of trouble. America's Retirement Plan is designed to tell you what you need to know.

CONTACT US FOR A FREE COPY!

First Name:
Last Name:
e-mail: