The IRS announced cost-of-living adjustments applicable to dollar limitations for pension plans and related amounts for 2008. Some amounts change due to cost-of-living adjustments, while others are Code-required changes. For instance, the (1) benefit limit for defined benefit plans increases from $180,000 to $185,000; (2) defined contribution plan limit goes up from $45,000 to $46,000; (3) compensation limit for determining benefits and contributions increases from $225,000 to $230,000; and (4) definition of a highly compensated employee goes from $100,000 to $105,000. On the other hand, the (1) SEP contribution threshold remains unchanged at $500; (2) limitation for SIMPLE retirement accounts stays at $10,500; and (3) compensation amount for defining a control employee for fringe benefit valuation purposes remains unchanged at $90,000. News Release IR-2007-171 .