Sunday, November 7, 2010

No change to 401(k) contribution limit next year

The maximum contribution for a 401(k) will be unchanged in 2011. That limit—for those workers who can afford it—is $16,500. Individuals over age 50 can chunk in an additional $5,500 in so-called "catch up" contributions. Same limits apply to 403(b) and 457 plans.

Of course, in the current economy the limits are a moot point for many workers who can't afford (or are unwilling to risk) large contributions to retirement savings plans.

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