With 2017 well on its way, it’s a good idea to review and update your savings goals for the year. The 401k contribution limit has remained unchanged at $18,000, with a $6,000 catch up contribution available for participants over age 50. IRA contribution limits are also the same as 2016 but the amount of income allowable before the deduction is phased out has increased. The income limitations for Roth IRAs also went up a bit. The IRS updates these numbers every so often to adjust for inflation. Don’t have a savings goal for the year? It may be time to review your financial plan.
| 401(k), 403(b), and most 457 plans |
|
2016 |
2017 |
| Age 49 and under |
$18,000 |
$18,000 |
| Age 50 and older |
Additional $6,000 |
Additional $6,000 |
| Roth and Traditional IRA contribution limits |
|
2016 |
2017 |
| Age 49 and under |
Up to $5,500 (must have employment compensation) |
Up to $5,500 (must have employment compensation) |
| Age 50 and older |
Additional $1,000 |
Additional $1,000 |
| Traditional IRA modified adjusted gross income limit for partial deductibility |
|
2016 |
2017 |
| Single |
$61,000 – $71,000 |
$62,000 – $72,000 |
| Married – Filing joint returns |
$98,000 – $118,000 |
$99,000 – $119,000 |
| Married – Filing separately |
$0 – $10,000 |
$0 – $10,000 |
| Non-active participant spouse |
$184,000 – $194,000 |
$186,000 – $196,000 |
| Roth IRA modified adjusted gross income phase-out ranges |
|
2016 |
2017 |
| Single |
$117,000 – $132,000 |
$118,000 – $133,000 |
| Married – Filing joint returns |
$184,000 – $194,000 |
$186,000 – $196,000 |
| Married – Filing separately |
$0 – $10,000 |
$0 – $10,000 |
