IRS announces benefit plan limits for 2021

The IRS has announced welfare and retirement benefit plan limits for 2021.

There are many sections in the Tax Code that limit the amount of tax-favored welfare and retirement benefits an employer may provide or an employee may receive. The IRS updates these limits annually to account for inflation.

Here are the limits for 2021 and the corresponding limits for 2020. Note that regulators previously issued guidance updating the limits for health savings accounts and their corresponding high-deductible health plans, as well as certain health reform-related fees, penalties and limits. Those updates are included as well.

Please click the image below for a printable version of the 2021 retirement and welfare benefit plan limits (opens a new window). IRS announces benefit plan limits for 2021Download alert (opens a new window)

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