The Limits of the New IRS Retirement Plan for 2016
There are only a few months left until 2016, which means the IRS has set several new limits on your retirement plans. We have them here.
Earlier this week, the IRS announced that the 401 (k) and IRA plans remain more or less unchanged for 2016. You can still deposit up to $ 18,000 in your 401 (k), 403 (b) plans, most $ 457 plans, and $ 5,500 in yours. Mouth or Traditional IRA. Subsequent contributions to these plans also remain unchanged, as do employers’ contributions. An employer can contribute enough to the 401 (k) plan to push it up to a maximum of $ 53.00, which is the 2015 high.
The IRS has highlighted a few things that will nevertheless change:
- For an IRA payer who is not covered by a workplace retirement plan and is married to someone who is insured, the deduction ends if the couple’s income is between $ 184,000 and $ 194,000, up from $ 183,000 to $ 193,000.
- [Adjusted Gross Income] AGI phase-out range for taxpayers contributing to the Roth IRA is $ 184,000 to $ 194,000 for co-registered couples, up from $ 183,000 to $ 193,000. For singles and heads of households, the income fade range is US $ 117,000 to US $ 132,000, up from US $ 116,000 to US $ 131,000.
- The AGI limit for savings loan (also known as retirement savings loan) for low- and middle-income workers is $ 61,500 for co-registered couples, up from $ 61,000; $ 46,125 for the head of household, compared to $ 45,750; and $ 30,750 for married singles and singles, compared to $ 30,500.
We have a Bankrate handy chart with a breakdown of numbers . To see the full details, visit the IRS link below.