Reported 24 days ago
Starting in 2025, the IRS has raised the 401(k) contribution limit to $23,500, allowing those in their 60s to contribute even more than before, due to changes in the Secure 2.0 law. While the catch-up contribution limit remains at $7,500 for those aged 50 and over, individuals aged 60 to 63 can save up to $34,750 without income tax implications. Furthermore, although IRA contribution limits stay the same, adjusted income thresholds for eligibility have seen increases, benefiting contributors. The changes aim to enhance retirement savings options, especially for lower and moderate-income workers.
Source: YAHOO