The IRS Announces 2022 Retirement Contribution Limits

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The IRS recently announced the retirement plan contribution limit adjustments for 2022. These adjustments are made annually to reflect changes in the cost of living. Here is an outline of the changes and noteworthy increases you can expect in the upcoming year.

Changes

401(k), Roth 401(k), and 403(b)

Increase: +$1,000

  • 2022: $20,500 limit

  • 2021: $19,500 limit

Roth 401(k), and 403(b) Catch-Up Contributions

Increase: none

  • 2022: $6,500 limit

  • 2021: $6,500 limit

3% Safe Harbor Non-Elective Contribution Maximum

Increase: +$450

  • 2022: $9,150

  • 2021: $8,700

4% Safe Harbor Match Contribution Maximum

Increase: +$600

  • 2022: $12,200

  • 2021: $11,600

Annual Contribution Limit

Increase: +$3,000

  • 2022: $61,000

  • 2021: $58,000

Annual Contribution Limit, Including Catch-Up Contributions

Increase: +$3,000

  • 2022: $67,500

  • 2021: $64,500

SIMPLE IRA Elective Deferrals

Increase: +$500

  • 2022: $14,000

  • 2021: $13,500

SIMPLE IRA Catch-Up Contributions

Increase: none

  • 2022: $3,000

  • 2021: $3,000

Traditional IRA and Roth IRA Contributions

Increase: none

  • 2022: $6,000

  • 2021: $6,000

Traditional IRA and Roth IRA Contributions

Increase: none

  • 2022: $6,000

  • 2021: $6,000

IRA Catch-Up Contributions

Increase: none

  • 2022: $1,000

  • 2021: $1,000

Maximum Plan Compensation

Increase: +$15,000

  • 2022: $305,000

  • 2021: $290,000

Social Security Wage Base

Increase: +$4,200

  • 2022: $147,000

  • 2021: $142,800

Questions

Have questions about how these changes could affect your plan for retirement? Our experts are here to help. Contact Us.

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