Last week the IRS and Social Security Administration announced the 2009 cost-of-living increases applicable to various dollar limits for retirement plans.  All of these limits will increase for 2009.  The annual limit for elective deferrals will increase to $16,500 and for catch-up contributions for individuals age 50 or over to $5,500.

Below are the principal limits applicable for 2009 as compared with those for 2008.

Limit	2009	2008
Compensation Limit	$245,000	$230,000
401(k) Deferrals	$16,500	$15,500
401(k) Catch-up Contributions	$5,500	$5,000
Defined Contribution 415 Limit	$49,000	$46,000
Defined Benefit 415 Limit	$195,000	$185,000
Highly Compensated Employee	$110,000	$105,000
Social Security Taxable Wage Base	$106,000	$102,000