Saver’s Credit Income Limits for 2020
At any stage of your career, it pays to grow your retirement nest egg. Even a small increase in saving may lead to big returns over time. New IRS annual retirement contribution and Saver’s Credit limits for 2020 may give you an opportunity to boost your retirement savings.
The IRS contribution limit for 403(b) retirement plans increased to $19,500 per person for 2020. If you are age 50 and over, you may make additional catch-up contributions up to $6,500 this year.
For traditional and Roth IRAs, the limit for annual contributions remains $6,000 per person. If you are at least 50-years-old or turn 50 at any time in 2020, the limit is $7,000.
The Saver’s Credit (also known as the Retirement Contributions Credit) income limits were raised for 2020. The Saver’s Credit income limit is now $65,000 for married couples filing jointly, $48,750 for heads of household, and $32,500 for singles and married individuals filing separately.
Visit the Contributions web page for details or contact the Retirement Call Center at 1-877-PENN-RET (1-877-736-6738) for help determining the right weekly or monthly contribution amount to maximize your savings.