Good News for Everyone with a retirement plan.

If you earn a wage, salary, or even self-employed you may be able to contribute more to a workplace retirement plan this year because the IRS has increased certain limits for inflation. (The maximum individual retirement account (IRA) contribution stays the same.) As with your own pretax salary deferrals, any employer contributions to your plan account are not taxed to you until distributed.

Contribution Limits

401(k)/403(b), 457, SEP*
Simple IRA
Traditional/Roth IRA

Under Age Age 50

$ 18,000
$ 12,500
$ 5,500

Age 50 and Older

$ 24,000
$ 15,500
$ 6,500

(Note that not all employer plans permit participants who have reached age 50 to contribute the higher amounts indicated. And additional contribution limitations could apply.)

• Limits apply to most 457 plans. Only SEP plans established before 1997 (SAR-SEPs) may allow employees to make pretax contributions.

Remember… Saving Matters! The average American spends 20 years in retirement.

  1. Start saving, keep saving, and stick to your goals.
  2. Know your retirement needs.
  3. Contribute to your employer’s retirement savings plan.
  4. Learn about your employer’s pension plan.
  5. Consider basic investment principles.
  6. Don’t touch your retirement savings.
  7. Put money into an Individual Retirement Account.
  8. Find out about your Social Security benefits.
  9. Ask Questions.

Have Questions?

Need help figuring out your financial retirement goals?

Contact me, Sal Schibell, a Certified Financial Planner®, to go over each area of your retirement plan so you can rest assured you are working towards a healthy financial retirement. I will review the different options available for your particular retirement situation. Email  [email protected] or call 732-531-8000 ext 225.