The Puerto Rico Department of Treasury announced the 2026 limits for retirement plan sponsors of dually qualified plans and plans qualified solely in Puerto Rico.
| Description | 2025 | 2026 |
|---|---|---|
| Compensation | $350,000 | $360,000 |
| Defined Contribution Annual Contribution Limit | $70,000 | $72,000 |
| Defined Benefit Annual Benefit Limit | $280,000 | $290,000 |
| Highly Compensated Employee* | $160,000 | $160,000 |
| Pretax Elective Deferral – Dual Qualified | $20,000 | $22,500 |
| Pretax Elective Deferral – Solely Qualified | $15,000 | $15,000 |
| Catch-up – Dual and Solely Qualified (plan not sponsored by federal government and at least age 50 by plan year end) | $1,500 | $1,500 |
| Catch-up (Only retirement plans sponsored by U.S. federal government and employees over age 50) | $7,500 | $8,000 |
| After-Tax Voluntary – Solely Qualified | 10% of the participant’s maximum recognizable compensation for all years of participation in the retirement plan | |
| Periodic payments that are not subject to 10% withholding in Puerto Rico | Retirees under age 60, the first $31,000. For those age 60 or older as of December 31, the first $35,000. | |