{"id":54799,"date":"2022-11-23T13:46:50","date_gmt":"2022-11-23T21:46:50","guid":{"rendered":"https:\/\/lapost.us\/?p=54799"},"modified":"2022-11-23T14:48:51","modified_gmt":"2022-11-23T22:48:51","slug":"taxpayers-should-review-the-401k-and-ira-limit-increases-for-2023","status":"publish","type":"post","link":"https:\/\/lapost.us\/?p=54799","title":{"rendered":"Taxpayers should review the 401(k) and IRA limit increases for 2023"},"content":{"rendered":"<p>Tax Tip 2022-178<br \/>\nNovember 21, 2022<\/p>\n<p>&nbsp;<\/p>\n<p>The amount individuals can contribute to their 401(k) plans in 2023 will increase to $22,500 &#8212; up from $20,500 for 2022. The income ranges for determining eligibility to make deductible contributions to traditional IRAs, contribute to Roth IRAs, and claim the Saver&#8217;s Credit will also all increase for 2023.<\/p>\n<p>&nbsp;<\/p>\n<p>Taxpayers can read the technical guidance regarding all of the cost\u2011of\u2011living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2023 in\u00a0<a href=\"https:\/\/www.irs.gov\/pub\/irs-drop\/n-22-55.pdf\">Notice 2022-55<\/a> on IRS.gov.<\/p>\n<p>&nbsp;<\/p>\n<p><strong>Here are some of the changes for 2023:<\/strong><\/p>\n<p>&nbsp;<\/p>\n<ul>\n<li>The contribution limit for employees who participate in 401(k), 403(b), most 457 plans and the federal government&#8217;s Thrift Savings Plan will increase to $22,500.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The limit on annual contributions to an IRA will increase to $6,500. The IRA catch\u2011up contribution limit for individuals age 50 and over is not subject to an annual cost\u2011of\u2011living adjustment and remains $1,000.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The catch-up contribution limit for employees age 50 and over who participate in 401(k), 403(b), most 457 plans and the federal government&#8217;s Thrift Savings Plan will increase to $7,500.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The catch-up contribution limit for employees age 50 and over who participate in SIMPLE plans will increase to $3,500, up from $3,000.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The phase\u2011out ranges for deducting contributions to a traditional IRA will also increase. Taxpayers should review Notice 2022-55 regarding the details for their situation.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The income phase-out range for people making contributions to a Roth IRA will increase for taxpayers filing as single, head of household and married filing jointly. Again, taxpayers should consult Notice 2022-55 for specifics about their situation.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The income limit for the Saver&#8217;s Credit for low- and moderate-income workers is $73,000 for married couples filing jointly; $54,750 for heads of household; and $36,500 for singles and married individuals filing separately.<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li>The amount individuals can contribute to their SIMPLE retirement accounts will increase to $15,500.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Tax Tip 2022-178 November 21, 2022&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-54799","post","type-post","status-publish","format-standard","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/54799","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=54799"}],"version-history":[{"count":1,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/54799\/revisions"}],"predecessor-version":[{"id":54800,"href":"https:\/\/lapost.us\/index.php?rest_route=\/wp\/v2\/posts\/54799\/revisions\/54800"}],"wp:attachment":[{"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=54799"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=54799"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lapost.us\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=54799"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}