The Internal Revenue Service has announced the 2022 dollar limitations for qualified retirement plans and other benefits. Most of the limits will increase from 2021 and some remain unchanged. Knowing the limits available and how much you are able to contribute are an important part of your strategy for investing for retirement.
Maximizing your savings in these areas now will help you create the funds you’ll need to have better options for your retirement goals from lifestyle cost, healthcare charges, and even legacy gifting.
Retirement Plan Limits
Elective Deferral Limit
$20,500
Catch-Up Contribution
$6,500
SIMPLE Plan Employee Deferrals
$14,000
SIMPLE Plan Catch-Up Contributions
$3,000
Plan Maximum Annual Contribution
$61,000
Annual Contribution Limit including Catch-Up Contributions
$67,500
Maximum Annual Benefit
$245,000
Individual Retirement Account (IRA)
$6,000
Contribution Limits
Maximum Plan Compensation
$305,000
Income Subject to Social Security
$147,000
Key Employee Compensation Threshold
$200,000
Highly Compensated EE Threshold
$135,000
Contribution Limits
For your convenience, we created a 1-page guide with this information, which you can download and save here. If you have questions about the best way to invest in the varying options available to you, our Wealth Management services can help! Just email by clicking the button below.
Earl Blackmon, CPA
Avizo Group offers Wealth Management for clients who would like assistance in investing, saving, and portfolio diversification. This is an area of need for many of our clients who want to invest but need someone they know and trust to help them. Earl Blackmon holds a Series 7 and Series 66 license.
