IRS Announces Cost of Living Increases for 2016Market Alerts |
On October 21st, 2015, the Internal Revenue Service (IRS) announced cost of living adjustments (COLA) affecting dollar limitations for pension plans and other retirement-related items for tax year 2016.
In general, the pension plan limitations will not change for 2016 because the increase in the cost-of-living index did not meet statutory thresholds that trigger their adjustment. However, other limitations will change because the increase in the index did meet the statutory thresholds.
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