The IRS has finalized payroll related benefits and contribution limits for 2015. Below are the maximum benefits and contribution limits.
Elective Deferrals (401(k) and 403(b); not including adjustments and catch-ups) | $18,000 |
457(b)(2) and 457(c)(1) Limits (not including catch-ups) | $18,000 |
Section 414(v) Catch-Up Deferrals to 401(k), 403(b), 457(b), or SARSEP Plans | $6,000 |
Defined Benefit Plans | $210,000 |
Defined Contribution Plans | $53,000 |
Annual Compensation Limit | $265,000 |
Annual Compensation Limit for Grandfathered Participants in Governmental Plans Which Followed 401(a)(17) Limits (With Indexing) on July 1, 1993 | $395,000 |
Highly Compensated Employee (“HCEs”) | $120,000 |
Individual Retirement Accounts (“IRAs”), for individuals 49 and below | $5,500 |
Individual Retirement Accounts (“IRAs”), for individuals 50 and above | $6,500 |
SIMPLE Retirement Accounts | $12,500 |
SEP Coverage | $600 |
SEP Compensation | $265,000 |
Tax Credit ESOP Maximum Balance | $1,070,000 |
Amount for Lengthening of 5-Year ESOP Period | $210,000 |
Maximum Amount for Qualified Longevity Annuity Contract Purchases | $125,000 |
Income Subject to Social Security Tax | $118,500 |
FICA Tax for employers | 7.65% |
FICA Tax for employees | 7.65% |
Social Security Tax for employers | 6.2% |
Social Security Tax for employees | 6.2% |
Medicare Tax for employees and employers | 1.45% |
SECA Tax for self-employed workers | 15.3% |
Social Security Tax for self-employed workers | 12.4% |
Medicare Tax for self-employed workers Additional Medicare Tax for individuals earning over $200,000 (250,000 Married) |
2.9% 0.9% |
About Time & Pay:
Time & Pay is a professional payroll service provider located in Johnson City, TN. We service businesses of all sizes and types throughout the United States. Founded in 1992, Time & Pay provides businesses with complete payroll services , guaranteed payroll tax compliance, automated time and attendance systems and services, pay-as-you-go worker’s comp, human resource management systems and services, and more. We provide our customers with the cost effective tools you need to better manage your payroll, your employees and your business. Time & Pay’s services guarantee you will save money, time and aggravation and we back them up with the customer service you expect and deserve. Contact Us today to learn why business owners throughout the country are saying:
“Time & Pay! Why would you do payroll and timekeeping any other way?”
Offices:
Payroll Services in Kingsport, Bristol, Johnson City, TN 423-854-9042
Payroll Services in Morristown, Greenville, Knoxville, TN 423-957-9505
Payroll Services in Cleveland, Chattanooga, TN 423-794-7855
Payroll Services in Newport News, VA 757-240-2766