Put more in your nest egg
New limits to contributions to retirement accounts in 2013
In 2013, new retirement plan contribution limits mean you get to sock away more of your money for the future.
If you participate in a company-sponsored 401(k), 403(b), government 457(b) or SAR-SEP retirement plan, you will be able to contribute $17,500 in 2013, up from $17,000. Anyone age 50 or more can make additional catch-up contributions of $5,500 for a total of $23,000.
The new SIMPLE IRA and self-employed 401(k) contribution limit is $12,000, an increase of $500. Catch-up contribution limits for those 50 and older remain at $2,500.
Annual traditional IRA limits have also increased $500 to $5,500. Account holders age 50 or more can pump in an additional $1,000 in catch-up contributions. Note that contribution deductibility may be limited if you or your spouse is covered by an employer plan.
Both contribution and qualification limits have increased for the Roth IRA. Individuals with a modified adjusted gross income (MAGI) of $112,000 (up from $110,000) can now contribute $5,500 to a Roth account (up from $5,000). The same new contribution limit also applies to married couples filing jointly with a MAGI of $178,000 (up from $173,000).
The information contained herein has been obtained from sources considered reliable, but we do not guarantee that the foregoing material is accurate or complete.
Investing involves risk and investors may incur a profit or loss.
Material prepared by Raymond James for use by its financial advisors.