2021 IRA and 401k Contribution Limits

401k Contributions

• 2021 limit is $19,500

• Catch-up contribution if age 50 or older $6,500

IRA Contributions

• Roth: Contribution limit $6,000

• Traditional: Contribution limit $6,000

• Catch-up: Contribution if age 50 or older $1,000

Traditional IRA Deductibility

Single filers covered by employer plan

MAGI Range: $66,000 – $76,000

Married couples filing jointly, contributor covered by employer plan

MAGI Range: $105,000 – $125,000

Joint filer / spouse not covered by employer plan¹

MAGI Range: $198,000 – $208,000

¹Must be under age 70½. Must have earned income.

Roth IRA Eligibility

Single filers

MAGI Range: $125,000 – $140,000

Married couples filing jointly

MAGI Range: $198,000 – $208,000

SEP IRA Contributions

• Company may contribute up to 25% of compensation or $58,000, whichever is less

(Source: irs.gov)

SIMPLE IRA Contributions

• Salary deferral up to $13,500

• $3,000 catch-up contribution if age 50 or older

Employer match (up to 3%) or nonelective contribution (2%)

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