For those who are able to good news in on the horizon. The maximum 401(k) contribution rises to $17,000 in 2012, up $500 over this year. Individuals born before 1963 can put in as much as $22,500. Theses contribution limits also apply to 403(b) and 457 plans as well.
The ceiling on SIMPLEs will remain at the low level of $11,500. Folks age 50 or older in 2012 can put aside an additional $2,500.
Plan contributions can be based on up to $250,000 of salary next year. The payin limitation for defined contribution plans increases to $50,000
in 2012. That’s a $1,000 increase for Keogh plans and profit sharing plans.
Anyone making over $115,000 is highly paid for plan discrimination testing (also in the top 10% of all taxpayers). The benefit limit for pension plans is set to rise to $200,000 next year. There will be no change in the payin limits for IRAs and Roth IRAs. The limits remain at $5,000, plus $1,000 more for anyone who was born in 1962 or earlier.