Posted by TJ on Friday February 27, 2009 @ 04:07 PM
[Tags: accounting, taxes, business]

Below is a table summarizing the numerous payroll limits for 2004-2009.

Type of Limitation	2009	2008	2007	2006	2005	2004
Elective Deferrals (401(k) and 403(b); not including adjustments and catch-ups)	$16,500	$15,500	$15,500	$15,000	$14,000	$13,000
457(b)(2) and 457(c)(1) Limits (not including catch-ups)	$16,500	$15,500	$15,500	$15,000	$14,000	$13,000
Section 414(v) Catch-Up Deferrals to 401(k), 403(b), 457(b), or SARSEP Plans 7/	$5,500	$5,000	$5,000	$5,000	$4,000	$3,000
Defined Benefit Plans	$195,000	$185,000	$180,000	$175,000	$170,000	$165,000
Defined Contribution Plans	$49,000	$46,000	$45,000	$44,000	$42,000	$41,000
Annual Compensation Limit	$245,000	$230,000	$225,000	$220,000	$210,000	$205,000
Annual Compensation Limit for Grandfathered Participants in Governmental Plans Which Followed 401(a)(17) Limits (With Indexing) on July 1, 1993	$360,000	$345,000	$335,000	$325,000	$315,000	$305,000
Highly Compensated Employee ("HCEs")	$110,000	$105,000	$100,000	$100,000	$95,000	$90,000
Individual Retirement Accounts ("IRAs"), for individuals 49 and below	$5,000	$5,000	$4,000	$4,000	$4,000	$3,000
Individual Retirement Accounts ("IRAs"), for individuals 50 and above	$6,000	$6,000	$5,000	$5,000	$4,500	$3,500
SIMPLE Retirement Accounts	$11,500	$10,500	$10,500	$10,000	$10,000	$9,000
SEP Coverage	$550	$500	$500	$450	$450	$450
SEP Compensation	$245,000	$230,000	$225,000	$220,000	$210,000	$205,000
Tax Credit ESOP Maximum Balance	$985,000	$935,000	$915,000	$850,000	$850,000	$830,000
Amount for Lengthening of 5-Year ESOP Period	$195,000	$185,000	$180,000	$175,000	$170,000	$165,000
Excess Distribution Threshold	N/A	N/A	N/A	N/A	N/A	N/A
Qualified Police and Firefighters' DB Benefit Limit	N/A	N/A	N/A	N/A	N/A	N/A
Income Subject to Social Security Tax	$106,800	$102,000	$97,500	$94,200	$90,000	$87,900
FICA Tax	7.65%	7.65%	7.65%	7.65%	7.65%	7.65%
Social Security Tax for employees and employers	6.2%	6.2%	6.2%	6.2%	6.2%	6.2%
Medicare Tax for employees and employers	1.45%	1.45%	1.45%	1.45%	1.45%	1.45%
FICA Tax for self-employed workers	15.3%	15.3%	15.3%	15.3%	15.3%	15.3%
Social Security Tax for self-employed workers	12.4%	12.4%	12.4%	12.4%	12.4%	12.4%

Any tax advice included in this communication was not intended or written to be used, and it cannot be used by the taxpayer, for the purpose of avoiding any penalties that may be imposed on the taxpayer by any governmental taxing authority or agency.