Retirement Plan Contribution Limits

Contributions to retirement savings plans are subject to annual limits under federal tax laws, which may change every Jan. 1.

If you are eligible for more than one retirement plan, there is a limit on the amount that may be contributed through salary deferrals which must be aggregated (combined) for certain plan types. The Internal Revenue Service (IRS) sets these limits annually and strictly enforces them. The following information highlights the various limits and how they might apply to you.

Summary of Contribution Limits
Additional details and aggregation limits are detailed in the sections following the chart.

Description 2024
Employee contributions to each IU supplemental retirement plan (pre-tax and Roth contributions combined) $23,000
Age 50 and older catch-up limit $7,500

This information is based on the university’s current understanding of highly complex Internal Revenue Code (IRC) and U.S. Treasury Department regulations. It is provided for general informational purposes only. Indiana University does not provide tax advice and it is the responsibility of the individual to comply with federal limits. Questions or concerns regarding these limits, including aggregation of contributions with other retirement plans, should be addressed to a qualified tax adviser.

For questions about IU-sponsored retirement plans, email or call (812) 856-1234.

In This Section

Account Access

IRC 402(g) – Employee Elective Deferrals

Summary:

  • $23,000 for 2024 for all employee (both pre-tax and after-tax Roth) contributions
  • Plus an additional $7,500 for 2024 if you are age 50 or older

This limit applies to the following IU and non-IU plans combined:

  • IU Tax Deferred Account Plan
  • IU Health 401(k) 
  • 403(b) or 401(k) plan to which you make elective deferrals sponsored by any other employer
  • If you own 50% or more of an employer (such as a faculty practice plan), that employer's defined contribution 403(b) or 401(k) plan
  • Salary deferrals to a SARSEP (a simplified employee pension (SEP) plan set up before 1997 that includes a salary reduction arrangement)

IRC 457(b) – All Contributions (Employer & Employee)

Summary:

  • $23,000 for 2024 for all employer and employee (both pre-tax and after-tax Roth) contributions.
  • Plus an additional $7,500 for 2024 if you are age 50+ or an additional $23,000 for 2024 if you are age 62, 63, or 64. The age 62, 63, or 64 catch-up is a calculation of the employee’s under-utilized amount. Not all employees are eligible.

A participant may not make both an age 50 or older catch-up contribution and an age 62, 63, or 64 catch-up contribution to the plan in the same year.

This limit applies to the following IU and non-IU plans combined:

  • IU 457(b) Retirement Plan
  • 457(b) plan sponsored by an employer in the same controlled group as IU
  • 457(b) plan in which you participate sponsored by any other employer

IRC 401(a)(17) – Compensation Limit for Employer Contributions

Summary:

  • Limits maximum annual compensation on which retirement contributions can be made to $345.000 for 2024  (may not apply to all participants)

This limit applies to the following plans combined:

  • IU Retirement Plan 
  • 403(b) plan sponsored by employer in same controlled group as IU

This limit also applies to the following plans combined:

  • IU Retirement & Savings Plan
  • IU Supplemental Early Retirement Plan
  • Defined contribution 401(a) plan (including 401(k)) sponsored by an employer in the same controlled group as IU

IRC 415(c) - All Contributions (Employer & Employee)

Note: This limit only applies to a small number of employees.

Summary:

  • Lesser of 100% of an employee’s compensation or $69,000 for 2024 for all contributions (employer, employee pre-tax, and employee after-tax Roth)

Generally, this limit applies in aggregate to plans of the same kind. This means that this limit applies to the following IU and non-IU plans combined:

  • IU Retirement Plan – 403(b)
  • IU Tax Deferred Account Plan – 403(b)
  • The IRC 403(b) plan portion of the 18/20 Retirement Plan on behalf of a participant
  • 403(b) plan sponsored by employer in same controlled group as IU
  • If you own 50% or more of an employer (such as a faculty practice plan), that employer's defined contribution 403(b), 401(a), 401(k) plan or SEP

This limit also applies to the following IU and non-IU plans combined:

  • IU Supplemental Early Retirement Plan – 401(a)
  • IU Retirement & Savings Plan – 401(a)
  • Defined contribution 401(a) plan or 401(k) plan sponsored by an employer in the same controlled group as IU
  • A Simplified Employee Pension (SEP) to which you or another employer contribute

Age 50 + catch-up contributions and contributions made to the IU 457(b) Plan are not included when calculating this limit.

Take Action

Change your contribution type or amount at any time.

Learn about after-tax Roth contributions.

Rollover your existing retirement accounts into your IU plan accounts.