Maximum Amounts that Can Be Funded to Qualified Retirement Plans
ERISA has established plan limits for contributions and benefits that apply to all qualified retirement plans. The chart below outlines the maximum contribution (or benefit) that can be funded to each type of qualified retirement plan. These limits are indexed annually for inflation.
Defined Contribution Plans
- Profit Sharing Plans – For 2024, the maximum contribution that can be funded to a participant’s account is 100% of compensation up to $69,000.
- 401(k) Plans – For 2024, a participant can defer 100% of compensation into a 401(k) plan up to $23,000i. Participants age 50 and above are eligible to contribute an additional $7,500, for a total of $30,500. The total contribution for employee deferrals and employer contributions, including forfeitures, is 100% of compensation up to $69,000 ($76,500ii for participants age 50 and above).
Please contact JULY at 888.333.5859 for more information.
ii A participant must defer at least $7,500 in order to reach $76,500.
JULY is a 401(k) services company specializing in hi-touch, tech-enabled retirement plan services. Our employees have served as plan experts to advisory firms and employers in the small and micro 401(k) plan market for over 25 years. Over the last decade, JULY has built a host of proprietary technology solutions to streamline, automate and simplify all facets of retirement planning to make processes rewarding and easy for our clients. For more information about JULY, visit our website.