The IRS has announced new contribution limits to retirement plans. These plans include 401(k) plans, 403(b), most 457 plans, SIMPLE IRAs, IRAs, and the Federal Government Thrift Savings plan.
Retirement Limit Increases
The retirement limit for 401(k) plans, 403(b), most 457 plans, and the Federal Government Thrift Savings plan has increased from $18,500 to $19,000. The limits for SIMPLE IRAs have increased from $12,500 to $13,000. The limits for individual IRAs have increased from $5,500 to $6,000.
IRA Phase-out Ranges for 2019
- For single taxpayers covered by a workplace retirement plan, the phase-out range is $64,000 to $74,000.
- For married couples filing jointly, where the spouse making the IRA contribution is covered by a workplace retirement plan, the phase-out range is $103,000 to $123,000.
- For an IRA contributor who is not covered by a workplace retirement plan and is married to someone who is covered, the deduction is phased out if the couple’s income is between $193,000 and $203,000.
Roth IRA Phase-out Ranges
- The Roth IRA phase-out is $122,000 to $137,000 for singles and heads of household.
- The Roth IRA is for married couples filing jointly, the income phase-out range is $193,000 to $203,000.
- For married couples filing jointly, the income phase-out range is $193,000 to $203,000.
For more information on these changes, please visit the news release the IRS posted.
Did you know that Corpay Retirement Service offers 3 types of retirement programs? Visit www.corpay.com/retirement to learn more!
“401(k) contribution limit increases to $19,000 for 2019; IRA limit increases to $6,000.” IRS, 1 Nov. 2018, https://www.irs.gov/newsroom/401k-contribution-limit-increases-to-19000-for-2019-ira-limit-increases-to-6000.