New Limits for 2023
With the new year right around the corner, now is the time to review your contributions and investment selections. The IRS announced new limits for retirement plans.
The maximum amount of pretax and roth deferrals that can contributed to a 401k plan.
Catch-up Contribution Limit
The additional amount an individual who attains age 50 before the close of the calendar year can contribute to the 401k plan.
The total contribution limit to the 401k plan (including employee pre-tax and after-tax contributions, employer contributions and forfeitures allocated to a participant account).
The amount of compensation that once reached in the preceding year defines a Highly Compensation Employee (HCE).
The compensation limit for purposes of allocating employee and employer contributions for a 401k plan.
The maximum annual contribution amounts to a Health Savings Account (HSA).
$3,850 single coverage
$7,750 family coverage
$3,650 single coverage
$7,300 family coverage
HSA Catch-up Contribution Limit
The additional amount an individual age 55 or older can contribute to their HSA.
Traditional and Roth IRA Limit
The maximum amount of contribution to a traditional and/or roth IRA in total
Simple IRA Limit
The maximum amount of pretax deferrals that can be contributed to the plan.
Simple IRA Catch-up Contribution Limit
The additional amount an individual who attains age 50 before the close of the calendar year can contribute to the Simple IRA.
Should you have any questions concerning these limits and their impact to you, please reach out to an advisor in Premier!
Written by: Tiffany Coffin
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