The IRS has announced the inflation adjustments to retirement plans for 2014. Some highlights:
– Maximum contributions to 401(k) and 403(b) plans stays at $17,500. Taxpayers who are 50 years old by the end of 2014 will be able to contribute and additional $5,500, for a combined maximum of $23,000.
The maximum 2014 IRA contriubtion remains at $5,500, plus the additional $1,000 “catch-up” for taxpayers who are 50 or older by the end of 2014.
The maximum contribution to defined contribution plans increases from $51,000 to $52,000.
The annual defined benefit plan annual benefit limit increases from $205,000 to $210,000.
More details are available from the IRS news release.
Related: William Perez, Retirement Plan Contribution Limits for 2014
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