2024 Highly Compensated Employee Limit
2024 Highly Compensated Employee Limit. * highly compensated employees are determined using the prior year compensation. An hce can be defined as an employee who owned more than 5% of the company at any time during the year (or the year before).
The employee contribution limit for simple iras and simple 401(k) plans is increased to $16,000, up from $15,500. For example, an employee is generally highly compensated in 2025 if their 2024.