The IRS has announced the 2018 dollar limitations for retirement plans based on the applicable cost-of-living adjustment guidelines. The annual limit for elective deferrals to 401(k) and 403(b) plans will increase from $18,000 to $18,500, while the annual limit for catch-up contributions for individuals age 50 or over will remain unchanged at $6,000. The Social Security Administration also recently announced that the Social Security wage base will increase from $127,200 for 2017 to $128,700 for 2018.

Listed below are the principal limits applicable for 2017 and 2018.

Limit	2018	2017
Compensation Limit	$275,000	$270,000
Elective Deferrals (401(k), 403(b), 457(b))	$18,500	$18,000
Catch-up Contributions	$6,000	$6,000
Defined Contribution Plan 415 Limit	$55,000	$54,000
Defined Benefit Plan 415 Limit	$220,000	$215,000
Highly Compensated Employee	$120,000	$120,000
Social Security Wage Base	$128,700	$127,200
SIMPLE Plan Limit	$12,500	$12,500
SIMPLE Catch-up Contributions	$3,000	$3,000