Annual Limits on Qualified Plans for 2020
On November 6, 2019, the Internal Revenue Service (IRS) released Notice 2019-59, which sets forth the 2020 cost-of-living adjustments affecting dollar limits on benefits and contributions for qualified retirement plans. The IRS also announced the health savings account (HSA) and high deductible health plan (HDHP) annual deductible and out-of-pocket expense adjustments earlier this year in Revenue Procedure 2019-25. The Social Security Administration announced its cost-of-living adjustments for 2020 in October 2019, which includes a change to the taxable wage base.
The following chart summarizes the 2020 limits for benefit plans. The 2019 limits are provided for reference.