Hce Limits 2024. For 2024, hces can contribute up to $23,000 annually ($30,500 if age 50 or older). Irs announces 2024 employee benefit plan limits.
The threshold for determining who is a highly compensated employee (hce) will increase to $150,000 (up from $135,000). *for a plan year that is less than 12 months (either due to initially establishing the plan after the first of the year or terminating a plan before.
This Threshold Is Based On The Employee's Compensation From The Previous Year.
Salary deferral limit (irc ยง402(g)(1)) $23,000:
On April 23, 2024, The Dol Announced A Final Rule To Increase The Standard Salary Level For The Eap Exemptions And The Total Annual Compensation Threshold For The Hce.
For the 2025 plan year, an employee who earns more than $155,000 in 2024 is an hce.
In 2024, The 401 (K) Contribution Limits Are $23,000, Or $30,500 If You're 50 Or Older.
Images References :
5 For The 2024 Plan Year, An Employee Who Earns More Than $150,000 In 2023 Is An Hce.
The following limits apply to retirement plans in 2024:
For The 2024 Plan Year, An Employee Who Earns More Than $150,000 In 2023 Is Considered An Hce.