401(k) Limit Increases to $20,500 in 2022
The Internal Revenue Service announced that the amount individuals can contribute to their 401(k) plans in 2022 has increased to $20,500, up from $19,500 for 2021 and 2020. The IRS today also issued technical guidance regarding all of the cost‑of‑living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2022 in Notice 2021-61, posted on IRS.gov. Click HERE for detailed highlights of all the changes for 2022. Contact one of our professionals if you have any questions.