IRS Contribution Limits
Understanding IRS contribution limits is important, especially when your goal is to contribute the maximum to your account. Even if you can’t do the max, consider increasing your contribution a little each year to potentially move closer to your retirement goals.
Current Deferral Limits1
|457(b) Deferred Compensation Plan||Up to 100 percent of your compensation, but no more than $19,000|
|403(b) Tax Sheltered Annuity Plan||Up to 100 percent of your compensation, but no more than $19,000|
|401(k) Savings & Investment Plan||Up to 100 percent of your compensation, but no more than $19,000|
When participating in both the 457(b) and 401(k) (or 403(b)) plan, you may contribute $19,000 per year to each plan, for a total of $38,000. If you are participating in both the 401(k) and 403(b) plans, your total combined contribution amount cannot be higher than $19,000 (or $25,000 if using the Age 50 catch-up provision).
Current deferral limits with catch-up provisions
For complete details, read more about catch-up contributions.
|Catch-up provision||Standard deferral limit||Deferral limit with Age 50 catch-up||Deferral limit with Special 457(b) catch-up|
|If you’re under age 50 this year, you may defer as much as:||If you’re age 50 or older this year, you may defer as much as:||If you’re within three years of retirement, you may defer as much as:|
|457(b) plan||$19,000||$25,000 ($19,000 + $6,000)||$38,000 ($19,000 + $19,000)|
|401(k) or 403(b)||$19,000||$25,000 ($19,000 + $6,000)||$25,000 (if you use the Age 50 catch-up with 401(k) or 403(b))|
How much should I contribute?
Look at how much you would need to contribute each pay period if your goal is to contribute $19,000 for the year.
|Weekly (52 pays)||$365|
|Bi-weekly (26 pays)||$730|
|Semi-monthly (24 pays)||$791|
|Monthly (12 pays)||$1,583|
To stay up-to-date on any changes to the IRS deferral limits, visit the Retirement Plans Community on the IRS website.
Get the help you need
Talk with one of our Retirement Specialists for more information about planning for your retirement.
1 Source: IRS.gov