2008 Benefit Plan COLAs
The annual inflation adjustments for plan limitations are in. For 2008, limits on 401(k), SARSEP, 403(b), and 457 plan deferrals remain at $15,500 (maximum catch-up contribution, $5,000). SIMPLE deferrals are $10,500 (maximum catch-up contribution, $2,500). Other limitations that have increased are as follows:
1. Maximum annual additions to a defined contribution plan account are $46,000.
2. Maximum annual compensation for determining benefits is $230,000.
3. Compensation for determining highly-compensated status is $105,000.
4. The Social Security Taxable Wage base is $102,000.