Additional information:

  • The term “annual additions” generally means the sum for any year of employer contributions,
    employee contributions, and forfeitures.
  • For plans that include salary deferral features, individuals who are age 50 and older by the end
    of the calendar year may make catch-up contributions in addition to the annual addition limit,
    if catch-up contributions are permitted under the plan.

Notes for off-calendar plan years:

  • Deferral limits are on a calendar year basis, regardless of plan year.
  • Use the taxable wage base (TWB) in effect at the beginning of the plan year.
  • Use the annual compensation limit in effect at the beginning of the plan year.
  • Use the annual additions limit in effect at the end of the calendar year.