2025 Hce Limit. The threshold for determining who is a highly compensated employee (hce) will increase to $150,000 (up from $135,000). The contribution limit for 2023 is $6,500 and $7,500 for people 50 and older.
Highly compensated employees (hce) have special rules on contribution limits to their 401(k)s. The answer lies in two main factors:
The total annual compensation requirement for the special overtime exemption for hces is increased to $132,964 per year effective july 1, 2024, and then.
On january 1, 2025, the standard salary level will equal $1,128 per week and the hce total annual compensation level will equal $151,164.
Understand what an hce is and the irs rules these employees.
Our framework provides a starting point for diagnosing the opportunities and limitations highly compensated employees.
2025 Hce Limit. The threshold for determining who is a highly compensated employee (hce) will increase to $150,000 (up from $135,000). The contribution limit for 2023 is $6,500 and $7,500 for people 50 and older. Highly compensated employees (hce) have special rules on contribution limits to their 401(k)s. The answer lies in two main factors:…
