2013 Calendar

The IRS released the 2013 cost-of-living adjustments for retirement plan and health benefits, and many of the adjustments have increased.

IRS Releases 2013 Retirement and Health Benefit Cost-of-Living Adjustments: CliftonLarsonAllen LLP

  • 11/2/2012

IRS Releases 2013 Retirement and Health Benefit Cost-of-Living Adjustments

The IRS recently released the 2013 cost-of-living adjustments for retirement plan and health benefits.

“As expected, many of the adjustments have increased for 2013,” says Kelly Davis, an employee benefit plan manager with CliftonLarsonAllen. “Due to these changes, employers should make sure payroll and plan administrative systems are updated accordingly.”

The table below highlights the limits for the 2013 plan year in comparison to 2012.

Plan limits 2013 2012
Annual compensation limit  $255,000 $250,000
Individual elective deferral limit (401(k), 403(b), 457(b))  $17,500 $17,000
Age 50+ catch-up elective deferral limit  $5,500 $5,500
Defined contribution plan annual additions limit  $51,000 $50,000
Highly Compensated Employee (HCE) limit  $115,000 $115,000
Key employee/officer compensation  $165,000 $165,000
Defined benefit plan annuity limit  $205,000 $200,000
Simplified Employee Pension plan (SEP)
eligibility compensation limit 
$550 $550
Savings Incentive Match Plan for Employees of
Small Employers (SIMPLE) elective deferral limit 
$12,000 $11,500
SIMPLE age 50+ catch-up elective deferral limit  $2,500 $2,500
Social security taxable wage base  $113,000 $110,000
IRA annual contribution limit  $5,500 $5,000
Health Savings Accounts (HSAs) maximum limits (self/family)  $3,250/$6,450 $3,100/$6,250
HSA age 55+ catch-up limit  $1,000 $1,000
High Deductible Health Plans (HDHPs)
annual deductible limit (self/family)
$1,250/$2,500 $1,200/$2,400
HDHPs annual out-of-pocket maximum limits (self/family) $6,250/$12,500 $6,050/$12,100

How we can help

Our employee benefit professionals understand how these limits affect your benefit plans, and can provide assistance to plan sponsors in complying with the IRS rules.

Kelly Davis, Employee Benefit Plan Manager
kelly.davis@cliftonlarsonallen.com or 480-615-2383