Important: Retirement Plan Contribution Limits for 2020

Ken Weingarten |
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The IRS has recently released the new contributions limits for Plans in 2020. Please see below:

Defined Contribution Plan Limits (401(k), 403(b), etc.)

2019

2020

Maximum Employee Deferral

$19,000

$19,500

Age 50+ Catch-Up Contribution

$6,000

$6,500

Defined Contribution Maximum Limit (Employee & Employer)

$56,000

$57,000

Defined Contribution Maximum Limit (Employee & Employer) & Age 50+ Catch-Up Contributions

$62,000

$63,500

Employee Compensation Limit for Calculating Contributions

$280,000

$285,000

Health Savings Accounts & High Deductible Health Plans

2019

2020

HSA Contribution Limit (Employee & Employer)

Self-Only: $3,500 Family: $7,000

Self-Only: $3,550 Family: $7,100

HSA Catch-Up Contributions (Age 55+)

$1,000

$1,000

HDHP Minimum Deductibles

Self-Only: $1,350 Family: $2,700

Self-Only: $1,400  Family: $2,800

HDHP Maximum Out-of-Pocket Amounts

Self-Only: $6,750 Family: $13,500

Self-Only: $6,900 Family: $13,800

Individual Retirement Accounts

2019

2020

Traditional IRA/Roth IRAs

$6,000

$6,000

Age 50+ Catch-Up Contribution

$1,000

$1,000

SIMPLE IRA

$13,000

$13,500

SIMPLE IRA - Age 50+ Catch-Up Contribution

$3,000

$3,000

 

Weingarten Associates is an independent, fee-only Registered Investment Advisor in Lawrenceville, New Jersey serving Princeton, NJ as well as the Greater Mercer County/Bucks County region. We make a difference in the lives of our clients by providing them with exceptional financial planning, investment management, and tax advice.