The Benefit Plan limits for 2013 have been published and are provided for your information.
|Annual limit for 401(k) Plan Deferrals||$17,500|
|Annual limit for 401(k) Catch Up contributions||$5,500|
|Definition of "Highly" Compensated||$115,000 *|
|Social Security Wage Base||$113,700|
|Social Security Tax||6.2%|
|NAF Retiree COLA||2% (Based on consumer price index)|
Medicare tax remains at 1.45% (In 2013 the Patient Protection Affordable Care Act is scheduled to increase the Medicare tax rate .9% (to 2.35%) for higher income individuals. ($200,000 for single tax filers and $250,000 for couples filing jointly ($125,000 married filing separately)).
Dependent Care (for FSA) annual max deferral remains at $5,000
Health Care (for FSA) annual max dererral reducing to $2,500
For the NAF Retirement Plan- There will be a 2% increase for eligible retirees effective 1 January 2013.
|* There is no discrimination testing for 401(k) Plans, but discrimination testing is applicable for FSA Dependent Care and Health Care.|