Contribution Limits for 2019

Contribution Limits for 2019

December 31, 2018

Happy New Year!! As we look forward to 2019, we wanted to let you know of the important changes below regarding the amounts you can contribute to your retirement plans:

In 2019, the retirement contribution limits increased to the following amounts:1

  1. 401ks, 403bs, most 457 Plans & Governmental TSPs: Participating employees can now contribute $19,000.
    1. For those age 50+, you may contribute an additional $6,000 for a total of $25,000 (catch-up contribution).
  2. Defined Contribution Plans: Contributions cannot exceed $56,000 now.
    1. This includes any employee plus employer contributions.
  3. IRA Contributions (Traditional and Roth IRAs): $6,000
    1. Catch-up contribution remains at $1,000. Individuals who are 50+ may contribute up to $7,000 to an IRA.
    2. Deductible IRA Contributions have increased.
    3. Roth IRA income phaseouts have increased.
  4. SIMPLE IRAs: The limit has increased to $13,000.
    1. Catch-up contributions for individuals 50+ remain at $3,000 so these individuals may contribute up to $16,000.

If you would like to set up or update your automatic investments to your IRA please call our office at (317) 882-7675.