2012 Pension Plan Limits
Pension plan benefit and contribution limits are reviewed every year and adjusted as necessary to account for increases in the cost of living. Here are the figures for the 2012 tax year.
The maximum amount that may be added to a participant 401(k), profit sharing, or other defined contribution plan account is $50,000.
The dollar limit on elective salary deferrals to a 401(k) or 403(b) plan is $17,000. The limit is $11,500 for SIMPLE plan deferrals.
The limit on catch-up contributions (for participants age 50 or older) is $5,500 for 401(k) and 403(b) plans and remains unchanged at $2,500 for SIMPLE plans.
When computing benefits or contributions, the maximum amount of salary that may be considered is $250,000.
