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Saving for retirement will get a boost in 2025 thanks to higher contribution limits and the phase-in of provisions stemming from the Secure 2.0 Act. ... Starting in 2025, 401(k) and 403(b) plans ...
Under the Secure Act 2.0, businesses that adopt new 401(k) and 403(b) plans must automatically enroll eligible employees, starting at a contribution rate of at least 3%, beginning in 2025.
For plans like a 401(k), 403(b), Thrift Savings Plan, some 457 plans and Simple IRAs and 401(k) plans, the total contribution limit for participants age 60 to 63 in 2025 is $34,750.
Image source: Getty Images. 1. 401(k) contribution and catch-up limits are increasing. A 401(k) has a pretty high contribution limit compared to other retirement accounts, which is partly why it ...
In 2025, the catch-up contribution limit for 401(k)s is $7,500, unchanged from 2024. So if you're 50 or older by the end of 2025, you can put up to $31,000 into your 401(k). IRA limits for 2025
The following changes also apply to 403(b) plans. Take a look. 1. Automatic Enrollment for New 401(k) Plans ... Suppose the 2024 contribution limit remains at $7,500 for 2025; you can “catch up ...
The SECURE 2.0 Act modifies catch-up contributions for participants in 403(b), 457(b) ... Since 150% of $7,500 is $11,250, that's the new catch-up contribution limit in 2025 for select investors.
These are the maximum contribution limits for both employer-sponsored and individual retirement accounts in 2024 and 2025: ... Maximum contribution — ages 60 to 63. 401(k), 403(b), governmental ...
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