• ORBA on Facebook
  • ORBA on Twitter
  • ORBA on LinkedIn
  • ORBA Blog
  • ORBA Google Plus
  • Client Access
Contact UsNewsletter Signup
PrintEmailHome
Text Larger Text Smaller

CLIENT ALERT

December 4, 2014

2015 Employee Benefit Plan and Transportation Limits

By: Larry A. Ruff, CPA, MBA

The below presents the Internal Revenue Service (“IRS”) announced 2015 cost-of-living adjustments for retirement and health & welfare plans, and transportation programs.

Retirement Plan Limits

Although several limitations are changing in 2015, one key limit will not change.  The IRA contribution limitation remains the same.  Notable 2015 annual limitations as compared to 2014 are as follows:

 

2015

2014

401(k), 403(b) & 457(b) plan employee deferrals

$    18,000

$    17,500

Employee age 50 catch-up contribution

6,000

5,500

SIMPLE plan employee deferrals

12,500

12,000

SIMPLE plan age 50 catch-up contribution

3,000

2,500

IRA contribution limit (traditional and Roth)              

5,500

5,500

IRA age 50 catch-up contribution            

1,000

1,000

Defined contribution plan limit

53,000

52,000

Defined benefit plan limit

210,000

210,000

Annual compensation limit

265,000

260,000

Highly compensated employee

120,000

115,000

Key employee

170,000

170,000

FICA taxable wage base

118,500

117,000

Health and Welfare Plan Limits

The 2015 annual limitations as compared to 2014 are as follows:

 

2015

2014

Flexible Spending Accounts (FSA)

$    2,550

$    2,500

HSA age 55 catch-up contribution

1,000

1,000

Self-only Coverage:

 

 

HSA contribution

3,350

3,300

Minimum deductible for HDHP        

1,300

1,250

Maximum OOP expense limit for HDHP

6,450

6,350

Family Coverage:

   

HSA contribution

6,650

6,550

Minimum deductive for HDHP

2,600

2,500

Maximum OOP expense limit for HDHP

12,900

12,700

HSA = Health Savings Account
HDHP = High Deductible Health Plan
OOP = Out-Of-Pocket


Qualified Transportation Fringe Benefit Limits

The 2015 monthly qualified transportation fringe benefit limitations as compared to 2014 are as follows:

 

2015

2014

Parking

$    250

$    250

Transit

130

130

Bicycle

20

20

Plan sponsors should update payroll and plan administration systems for the 2015 cost-of-living adjustments and should incorporate the new limits in relevant participant communications.

For further information about the new IRS employee plan limits, contact Larry Ruff at lruff@orba.com or call him at 312.670.7444 for assistance.

Top