2023 PENSION CONTRIBUTION NUMBERS

  

The IRS has released Notice 2022-55, which identifies the inflation-adjusted contribution limits for retirement accounts for tax year 2023.  Here are the highlights -

IRA = $6,500

IRA Catch-Up Contributions at age 50 and older = $1,000

SIMPLE Plan = $15,500

SIMPLE Catch-Up Contributions at age 50 and older = $3,500

401(k), 403(b), 457, and Thrift Savings Plan = $22,500

401(k), 403(b), 457, and Thrift Savings Plan Catch-Up Contributions at age 50 and older = $7,500

SEP or Solo401(k) plan = $66,000.   

 

AGI phase-out range for contributions to a traditional IRA by active participants in an employer retirement plan:

 

$73,000 - $83,000 = Single and Head of Household

$116,000 - $136,000 = Married Filing Joint and Surviving Spouse

$0 - $10,000 = Married Filing Separate

 

The deduction on a joint return for a spouse that is not an active participant in an employer plan, but who is married to one who is, phases out at AGI of $218,000 to $228,000.    

 

AGI phase-out range for contributions to a Roth IRA:

 

$138,000 - $153,000 = Single and Head of Household

$218,000 - $228,000 = Married Filing Joint and Surviving Spouse

$0 - $10,000 = Married Filing Separate

 

TTFN