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2017 Cost of Living Adjustments

October 27, 2016

The Internal Revenue Service has announced the 2017 cost of living adjustments to various limits. The adjusted amounts generally apply for plan years beginning in 2017. Some of the adjusted amounts, however, apply to calendar year 2017.

Employee Benefit Plans

Plan Year20172016
401(k), 403(b), 457 deferral limit$18,000$18,000
Catch-up contribution limit (age 50 or older by end of 2017)$6,000$6,000
Annual compensation limit$270,000$265,000
Annual benefits payable under defined benefit plans$215,000$210,000
Annual allocations to accounts in defined contribution plans$54,000
(but not more than 100% of compensation)
(but not more than 100% of compensation)
Highly compensated employeeCompensation more than $120,000 in 2016 plan yearCompensation more than $120,000 in 2015 plan year

Health Savings Accounts

Calendar Year20172016
Maximum contribution
Family Self$6,750 $3,400$6,750 $3,350
Catch-up contribution
(participants who are 55 by end of year)
Minimum deductible
Family Self$2,600 $1,300$2,600 $1,300
Maximum out-of-pocket
Family Self$13,100 $6,550$13,100 $6,550

Social Security

Calendar Year20172016
Taxable wage base$127,200$118,500
Maximum earnings without loss of benefits
Under full retirement age Year you reach full retirement age$1,410/mo. ($16,920/yr.) $3,740/mo. up to mo. of full retirement age ($44,880/yr.)$1,310/mo. ($15,720/yr.) $3,490/mo. up to mo. of full retirement age ($41,880/yr.)

Social Security Retirement Age

Year of BirthRetirement Age
Prior to 1938Age 65
193865 and 2 months
193965 and 4 months
194065 and 6 months
194165 and 8 months
194265 and 10 months
1943 – 195466
195566 and 2 months
195666 and 4 months
195766 and 6 months
195866 and 8 months
195966 and 10 months
1960 and later67

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