The beginning of a new year is a great time to start a voluntary retirement plan or increase your salary deferrals to maximize your tax savings. The IRS announced the retirement plan contribution limits are increasing for 2018, and the new limits are as follows:
- Elective Deferral limit for 403(b) – all Roth and Tax-Deferred contributions combined – is increased by $500 to $18,500.
- Elective Deferral limit for 457(b) Deferred Compensation is increased by $500 to $18,500.
- The total contribution limit for 401(a) defined contribution plans is increased from $54,000 to $55,000. This includes both employer and employee contributions.
- Catch-up contribution limit for employees age 50 and over (as of December 31, 2018) remains unchanged at $6,000.
Information on retirement plans offered by UF and forms needed to change or initiate your deferral can be found on the Retirement section of the UFHR website.
If you have questions, contact UFHR Benefits at (352) 392-2477 or email firstname.lastname@example.org.