Retirement — Private Sector
About this plan
A Cash Balance Plan is a type of defined benefit plan that expresses benefits as an individual account balance rather than a monthly pension. Each participant has a hypothetical account that grows with annual contribution credits and interest credits. NBS administers Cash Balance plans in coordination with your actuary.
What's Included
For Employers
Cash Balance plans allow significantly higher tax-deductible contributions than a 401(k) alone — ideal for owners and key employees looking to accelerate retirement savings. NBS coordinates the administration with your actuary.
For Participants
Your employer has established a Cash Balance plan that provides annual contribution and interest credits to your account. The benefit is expressed as an account balance, making it easy to understand your retirement savings.
IRS Contribution Limits
Annual limits set by the IRS for tax-advantaged retirement contributions.
Elective Deferral Limit
All eligible employees
Age 50+ Catch-Up Contribution
Employees age 50 and older
Available if your plan permits.
Super Catch-Up Contribution
Employees ages 60–63 (SECURE 2.0)
Available if your plan permits.
Maximum Annual Additions
All contributions combined (employer + employee)
Age 50–59 & 64+
$32,500
Base $24,500 + catch-up $8,000
Ages 60–63 (SECURE 2.0)
$35,750
Base $24,500 + super catch-up $11,250
Combined totals assume your plan permits the applicable catch-up.
Catch-up contributions are plan-optional — your plan document governs which are available. Limits updated annually by the IRS. SECURE 2.0 super catch-up (ages 60–63) continues for 2026. View on IRS.gov →
NBS administers more than Cash Balance Plans
Many employers use NBS across multiple benefit types — consolidating administration simplifies vendor management and gives your employees a consistent experience. You may also be interested in these related plans.
