November 03, 2021

IRS Notice 2021-61 confirms Mercer’s earlier projections of key Internal Revenue Code retirement plan limits for 2022. The 2022 limits reflect a 5.34% increase in the Consumer Price Index for All Urban Consumers (CPI-U) from third quarter 2020 to third quarter 2021. The following table shows selected limits for 2021 and 2022:

IRC retirement plan limit



401(k), 403(b) and eligible 457 plan elective deferrals (and designated Roth contributions)



414(v)(2)(B)(i) catch-up contributions (plans other than SIMPLE plans)



415(b) defined benefit plan maximum annuity



415(c) defined contribution plan maximum annual addition



401(a)(17) and 408(k)(3)(C) compensation



414(q)(1)(B) highly-compensated employee and 414(q)(1)(C) top-paid group



416(i)(1)(A)(i) officer compensation for top-heavy plan key employee



Related resources

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Margaret Berger
by Margaret Berger

Partner, Mercer’s Law & Policy Group

Brian J. Kearney
by Brian J. Kearney

Principal, Mercer’s Law & Policy Group

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