Specialists in ERISA and Employee Benefits Law​

KLB Benefits

2023 Benefit Plan Cost of Living Adjustments

The 2023 cost of living adjustments for retirement plans and health and welfare plans have been announced:

Retirement Plans
Elective Deferral Max                           $22,500 ($2,000 increase)

Catch-up Contribution Limit                 $7,500 ($1,000 increase)

Compensation Limit                             $330,000 ($25,000 increase)

HCE Definition Comp Limit                   $150,000 ($15,000 increase)

415 DC Limit                                       $66,000 ($5,000 increase)

DB Annual Benefit Limit                       $265,000 ($20,000 increase)

Social Security Wage Base                   $160,200 ($13,200 increase)

IRA Contribution Limit                         $7,500 ($1,000 increase)

Key Employee Definition
(Top Heavy Plan)                                  $215,000 ($15,000 increase)

Health & Welfare Plans

Health FSA Max                                   $3,050 ($200 increase)

Health FSA Max Carryover                    $610 ($40 increase)

HSA Max Annual Contribution (Self)      $3,850 ($200 increase)

HSA Max Annual Contribution (Family)  $7,750 ($450 increase)

HDHP Min. (Self)                                 $1,500 (self) ($100 increase)

HDHP Min. (Family)                             $3,000 (family) ($200 increase)

HDHP Out-of-Pocket Expense (Self)     $7,500 ($450 increase)

HDHP Out-of-Pocket Expense (Family)  $15,000 ($900 increase)

ACA Out-of-Pocket Limit (Self)            $9,100 ($400 increase)

ACA Out-of-Pocket Limit (Family)         $18,200 ($800 increase)

ACA ESR A Penalty                              $2,880 ($130 increase)

ACA ESR B Penalty                             $4,320 ($200 increase)

ACA Affordability %                            9.12% (decrease from 9.61%)

Adoption Assistance Max                    $15,950 ($1,160 increase)