Retirement
The IRS releases 2003 cost-of-living adjustments related to benefit and contribution limits for qualified retirement plans ( www.irs.gov/pub/irs-news/ir02-111.pdf ). Many such savings caps are not changing this year because the increase in the cost-of-living index fell below the statutory thresholds that otherwise would trigger their adjustment. However, several will increase this year. The limitation under section 402(g)(1) on the exclusion for elective deferrals rises to $12,000 from $11,000, affecting contributions to 401(k) plans and the federal government’s thrift savings plans.
