The 2025 Retirement Plan Contribution Limits

Extra! Extra! The IRS has released the 2025 contribution limits.    

The following is a review of the most frequently accessed limits and the impact on 2025:

Compensation and Benefit Limits 

• Annual compensation limit: $350,000
• Elective Deferrals: 401(k) Plans: $23,500
• Catch-up contribution limit for 401(k) plans: $7,500 (no change from 2024)
• Annual additions limit for defined contribution plans: $70,000
• Annual additions limit for defined benefit plans: $280,000
• Social Security Wage Base: $176,100

Testing Limits

• Highly compensated employee: $160,000
• Key employee based on officer status: $230,000

 You can find a chart of these limits from 2016 to 2025 here in the DWC Knowledge Center.