The Internal Revenue Service (IRS) released 457(b) contributions
limits for 457 plans such as NDC for Tax Year 2024.
Year
|
Regular
Contribution Limits
|
50+ Catch-Up*
Contribution
Limits
|
3-Year
Catch-Up**
Contribution Limits
|
2023
|
100% of compensation up to:
$22,500
|
For participants at least age 50 or turning 50 in 2023,
100% of compensation up to:
$30,000
|
The total of the regular limit plus missed contributions from prior years up to:
$45,000
|
2024
|
100% of compensation up to:
$23,000
|
For
participants at least age 50 or turning 50 in 2024,
100%
of compensation up to
$30,500
|
The total of the regular limit plus missed contributions from prior years up to:
$46,000
|
*
The 50+ catch-up is available under Internal Revenue Code (IRC) Section
414(v) for individuals at least 50 years old in 2024 and make eligible contributions to 401(k), 403(b), and governmental 457 plans.
**The 3-Year special catch-up election for employees participating
in an eligible 457(b) deferred compensation who have elected the special
catch-up available in the three years prior to the year of normal retirement
age. You must provide a copy of the investment recordkeeper
calculation sheet to ensure eligibility.
NOTE: The participant in a governmental 457(b) plan may make
catch-up contributions in a year equal to the greater of (a) the amount
permitted under the age 50+ catch-up rule, OR (b) the amount permitted
under the normal retirement age catch-up rule.