Total Limits on 401(k) Employer and Employee Contributions
Total 401(k) contribution limits refer to the maximum contribution amount by both employer and employee.
In 2022, the total contribution limit was $61,000. The total for individuals aged 50+ with catch-up contributions was $67,500.
Although annual limits for individual contributions are cumulative across plans, employer contributions are not; if you hold multiple 401(k) plans, your employer can max out their contributions independently of each other.
Estate Planning is an important component of financial planning. At Bach, Jacobs & Byrne, P.A., we address tax issues and avoidance as part of estate planning. If you live in Sarasota, Manatee, or Charlotte County, contact Bach, Jacobs and Byrne, P.A. at (941) 906-1231 to evaluate whether your estate plan is tax efficient.
