Retirement Plan Contribution Limits:
2019 & 2020
2019 & 2020
Here are the retirement plan contribution limits for 2019 and 2020:
Type of Limit |
2020 Limit |
2019 Limit |
Elective deferrals to 401(k), 403(b), 457(b)(2) and 457(c)(1) plans |
$19,500 |
$19,000 |
Contributions to defined contribution plans |
$57,000 |
$56,000 |
Contributions to SIMPLEs |
$13,500 |
$13,000 |
Contributions to IRAs |
$6,500 |
$6,000 |
Catch-up contributions to 401(k), 403(b), 457(b)(2) and 457(c)(1) plans |
$6,500 |
$6,000 |
Catch-up contributions to SIMPLEs |
$3,000 |
$3,000 |
Catch-up contributions to IRAs |
$1,000 |
$1,000 |
If you’re not already maxing out your contributions to other plans, you still have an opportunity to save more in 2019. And if you turn age 50 in 2019, you can take advantage of catch-up contributions. Remember, you can still make 2019 IRA contributions up to April 15, 2020.
Higher-income taxpayers should also be pleased that some limits on their retirement plan contributions that had been discussed as part of tax reform didn’t make it into the final legislation.
However, keep in mind that there are still additional factors that may affect how much you’re allowed to contribute (or how much your employer can contribute on your behalf). For example, income-based limits may reduce or eliminate your ability to make Roth IRA contributions or to make deductible traditional IRA contributions.
If you have questions about how much you can contribute to tax-advantaged retirement plans in 2019 and 2020, check with us.
© 2019
Higher-income taxpayers should also be pleased that some limits on their retirement plan contributions that had been discussed as part of tax reform didn’t make it into the final legislation.
However, keep in mind that there are still additional factors that may affect how much you’re allowed to contribute (or how much your employer can contribute on your behalf). For example, income-based limits may reduce or eliminate your ability to make Roth IRA contributions or to make deductible traditional IRA contributions.
If you have questions about how much you can contribute to tax-advantaged retirement plans in 2019 and 2020, check with us.
© 2019