Call (951) 768-5398 to speak with a licensed insurance agent.

Call (951) 768-5398 to speak with a licensed insurance agent.

New Retirement Plan Contribution Limits Announced for 2023

Posted by Darrell Evans, November 16, 2022

Your retirement account is designed to help you adequately prepare for retirement, and so the IRS regularly reviews the cost of living in order to make necessary adjustments. These adjustments help you better prepare for the future, while also taking advantage of current tax breaks with regard to your retirement plan contributions.

In 2023, the new contribution limit for 401k, 403b, the federal government’s Thrift Savings Plan, and most 457 plans will increase from $20,500 to $22,500. For those aged 50 and older, the catch-up contribution will also increase from $6,500 to $7,500.

That means those of you with those types of retirement plan, who are age 50 or older, can contribute up to $30,000 in 2023. That also means you can earn a more significant break on your federal income taxes, because the money you contribute to a qualified retirement plan is not taxable.

In addition, the IRA contribution limit will increase from $6,000 to $6,500. Catch-up contributions for those aged 50 and older will remain at $1,000 annually, because these contributions are not subject to cost-of-living adjustments.

Those who participate in a SIMPLE plan can now contribute $3,500 next year, up from $3,000 in 2022.

If you’re still working and preparing for retirement, it usually makes sense to take advantage of all retirement savings opportunities that are available to you. While there is often not much we can do about the impact of inflation upon our current and future budgets, these retirement savings opportunities do allow you to prepare for the future while earning a significant tax break now.

Talk to your retirement planning professional for more information on these accounts, so that you can adjust your contributions accordingly.

Need more information?

Contact us online to learn more

Contact Us

Close Accessibility Tools
Accessibility Controls Reset
Content Adjustments
Font Size


Line Height


Content Scaling


Highlight Titles
Highlight Links
Highlight Forms
Align Left
Align Center
Align Right
Focus Mode
Color Adjustments




Accessibility Statement

Despite our attempts to make this website accessible for everyone, there may still be some pages or sections that are not completely accessible, are in the process of becoming accessible, or do not have a suitable technological solution to make them accessible. Nevertheless, we are always striving to enhance our accessibility by adding, updating, improving its options and features, and incorporating new technologies.

We want to provide our users with the best experience possible, so we strive to support as many browsers and assistive technologies as possible.

If you wish to contact this website's owner, please use the contact form on the website.

Our User Interface Adjustment Options

Font adjustments - With this tool, users can modify font size, style, letter spacing, and line height for improved alignment and readability.

Color adjustments - Users can customize their color contrast profiles to light, dark, desaturated, and monochrome.

Content highlighting - Users can prioritize key elements such as links, forms, and titles.

Content focus - Users can enable focus mode to highlight the current page information based on their mouse movement.