Compare Contribution Limits for Business Retirement Plans
The amount you can contribute varies based on the plan you have, how your business is structured and what your compensation or net business profit is for the tax year in which you are contributing.
2007 Contribution Limits
Incorporated Business Owner
| $50,000 |
$28,000 |
$12,500 |
$12,500 |
$12,000 |
| $75,000 |
$34,250 |
$18,750 |
$18,750 |
$12,750 |
| $100,000 |
$40,500 |
$25,000 |
$25,000 |
$13,500 |
| $150,000 |
$45,000 |
$37,500 |
$37,500 |
$15,000 |
| $200,000 |
$45,000 |
$45,000 |
$45,000 |
$16,500 |
Unincorporated Business Owner
| $50,000 |
$24,794 |
$9,294 |
$9,294 |
$11,885 |
| $75,000 |
$29,440 |
$13,940 |
$13,940 |
$12,578 |
| $100,000 |
$34,087 |
$18,587 |
$18,587 |
$13,271 |
| $150,000 |
$43,889 |
$28,389 |
$28,389 |
$14,634 |
| $200,000 |
$45,000 |
$38,255 |
$38,255 |
$16,071 |
2008 Contribution Limits
Incorporated Business Owner
| $50,000 |
$28,000 |
$12,500 |
$12,500 |
$12,000 |
| $75,000 |
$34,250 |
$18,750 |
$18,750 |
$12,750 |
| $100,000 |
$40,500 |
$25,000 |
$25,000 |
$13,000 |
| $150,000 |
$46,000 |
$37,500 |
$37,500 |
$15,000 |
| $200,000 |
$46,000 |
$46,000 |
$46,000 |
$16,500 |
Unincorporated Business Owner
| $50,000 |
$24,794 |
$9,294 |
$9,294 |
$11,885 |
| $75,000 |
$29,440 |
$13,940 |
$13,940 |
$12,578 |
| $100,000 |
$34,087 |
$18,587 |
$18,587 |
$13,271 |
| $150,000 |
$43,833 |
$28,333 |
$28,333 |
$14,656 |
| $200,000 |
$46,000 |
$38,200 |
$38,200 |
$16,041 |
1. Compensation reflects W-2 income only.
2. Individuals age 50 or older may make an additional $5,000 catch-up contribution to their Individual 401(k)'s for 2007 and 2008.
3. Individuals age 50 or older may make an additional $2,500 catch-up contribution to their SIMPLE IRAs for 2007 and 2008.
4. Net business profit percentage less the self-employment tax deduction is used to calculate the maximum contribution and is equal to the employee percentage given.
(1207-9031)
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