Why It’s Important to Keep Up With 401k IRS Contribution Limits
Those who’ve signed up for a 401k plan with an employer should keep up with the limits set each year. 401k plans aren’t just about what your employer is putting on the table be it: limitations, money, or compensation. You are an active part in the contribution process and thus subject to annual 401k IRS contribution limits. Why? Because above a certain limit, the government cannot go without taxing you and thus you are just asked to curb your investment annually. Such limitations are announced annually on the IRS website and offices, so you can easily check the limit. At the moment the IRS is actively studying limit improvements (now at $15,500/year) due to the increasing life expenses. If you stay informed, you won’t worry about the IRS knocking on your door.
Last modified September 23, 2008Author 296 > has blogged 105 times
