Know Your 2016 Retirement Contribution Limits

Saving for Retirement

Know Your 2016 Retirement Contribution Limits

Here are the maximum amounts you can contribute to IRAs, 401(k)s and more.

You can build your nest egg faster by maxing out how much you stash in your retirement accounts. Here are the contribution limits for 2016:

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The most you can contribute to a 401(k), 403(b) or similar workplace plan is $18,000. However, if you’ll be 50 or older anytime in 2016, you can contribute an extra $6,000, for a total of $24,000.

As for IRAs, you’ll be able to contribute up to $5,500 for 2016. If you're 50 or older, you can add on a catch-up contribution of $1,000, for a total of $6,500. These contribution limits apply to both Roth IRAs and traditional IRAs.

Keep in mind that Roth IRAs have income restrictions. If you’re married filing taxes jointly, your 2016 adjusted gross income must be less than $184,000 to put the full amount into a Roth. The contribution amount will phase out completely if you earn more than $194,000. The phaseout range for singles is $117,000 to $132,000.

Contribution Limits
2015 2016
401(k), 403(b), 457, Thrift Savings Plan contributions (not including employer contributions) $18,000 $18,000
401(k), 403(b), 457, Thrift Savings Plan catch-up contributions (for workers 50+) $6,000 $6,000
IRA and Roth IRA contributions $5,500 $5,500
IRA and Roth IRA catch-up contributions (for workers 50+) $1,000 $1,000
Solo 401(k) $53,000 $53,000
Solo 401(k) catch-up contributions (for workers 50+) $6,000 $6,000
Simplified Employee Pension $53,000 $53,000
Income Limits
2015 2016
Roth IRA, married filing jointly $193,000 $194,000
Roth IRA, singles $131,000 $132,000
Retirement savers' credit, married filing jointly $61,000 $61,500
Retirement savers' credit, head of household $45,750 $46,125
Retirement savers' credit, single or married filing separately $30,500 $30,700

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