The information below summarizes the retirement plan contribution limits for 2021.

Plan	Normal LImit	"Age 50" Catch-up Limit	"Pre-Retirement" Catch-up Limit *
401(a)	$58,000 (415 Limit)	N/A	N/A
457(b)	$19,500 (402(g) Limit)	$6,500	$19,500 (for a total of $39,000)
IRA	$6,000	$1,000	N/A

* Pre-retirement catch up is ONLY available to a participant who did not defer the maximum every year he/she was eligible for a 457(b) Plan. The Employee cannot use Over Age 50 catch-up and Pre-Retirement Catch-up in same year. (“Pre-Retirement” is the last 3 years prior to normal retirement age.)

 

N/A = Not applicable

 

The total contribution limit for 401(a) defined contribution plans under section 415(c)(1)(A) increases to $58,000 in 2021. This includes both employer and employee contributions. All contributions for all defined contribution plans (except Section 457(b) Plans) must be combined for the 415 limit.

 

The normal contribution limit for elective deferrals to a 457 deferred compensation plan remains at $19,500 in 2021. Employees age 50 or older may contribute up to an additional $6,500, for a total of $26,000. Employees taking advantage of the special pre-retirement catch-up may be eligible to contribute up to double the normal limit, for a total of $39,000. Section 457(b) Plan limits stand alone.

 

The contribution limit for Traditional and Roth IRAs remains at $6,000 in 2021. Employees age 50 or older are eligible to contribute an additional $1,000, for a total of $7,000.