The Internal Revenue Service sets a maximum annual contribution limit for both defined benefit and defined contribution retirement plans. These limits specify the maximum amount plan participants may put into their retirement accounts including employer contributions, employee deferrals and catch-up contributions.

A catch-up contribution is an employee deferral in excess of the annual employee deferral limit set by the IRS. This contribution type is only allowed for those plan participants age 50 or older in order for them to "catch up" in their retirement savings efforts.

Some retirement plans may have differing annual maximum limits. Internal Revenue Code contribution limits often change annually, so to get the most up-to-date maximum contribution and catch-up contribution amounts, refer to Ohio National's brochure, Comparison of Tax-Favored Retirement Plans (Form 1789).

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