NEWSLETTER: Q1 2018 – Contribution Limits

A new year brings a new opportunity to maximize savings. Consider increasing your contribution in 2018 to the limits listed below to help reach your savings goals. If you have any questions about how to ensure you are making the most of your contributions, your advisor at NNP is happy to help you understand more.

RETIREMENT PLAN LIMITS:

  • Traditional and Roth IRAs Contribution Limits $5,500
    • Age 50 and over Catch-up Contribution $1,000
  • SEP Contribution Limit
    • Up to 25% of compensation $55,000
  • Elective Deferral Limits
    • 401(k), 403(b), 457 and SARSEP $18,500
    • Age 50 and over Catch-up Contribution $6,000
    • SIMPLE elective deferral $12,500
    • Age 50 and over Catch-up Contribution $3,000
  • Defined Contribution Limit $55,000
  • Max Includable Compensation $275,000

EDUCATION:

  • 529 Plan per individual—before gift tax $15,000
  • 529 Plan per couple—before gift tax $30,000
  • Accelerate 5 years of gifting into 1 year per individual $75,000
  • Accelerate 5 years of gifting into 1 year per couple $150,000

HEALTH SAVINGS ACCOUNT:

  • Maximum Contribution
    • Single $3,450
    • Family $6,900
    • Age 55 and over Catch-up Contribution $1,000
  • Minimum Health Insurance Plan Deductible
    • Single $1,350
    • Family $2,750

To read the other articles from the first quarter of 2018, download the full newsletter.