fbpx
618.288.9505 info@carsonallaria.com

What Tax and Contribution Limit Changes Will Take Place in 2019?

by | Dec 5, 2018

More changes are coming for 2019 as contribution limits are set to increase once again. In addition, we will see an even higher standard deduction in 2019 than we saw in 2018. This is good news for those looking to defer more of their income to their retirement accounts, whether it’s a 401(k), SIMPLE IRA, or even a Traditional or Roth IRA. See below for some of the major highlights of the tax and contribution limit changes that are set to take place in 2019.

Defined Benefit & Defined Contribution Limits

Defined-contribution plans, basic limit  $        56,000
Defined-benefit plans, basic limit  $     225,000
401(k), 403(b), 457(b), Roth 401(k) plans elective deferral limit  $        19,000
Defined contribution catch up amount (individuals 50 and over)  $          6,000
SIMPLE IRA elective deferral limit  $        13,000
SIMPLE IRA catch up amount (individuals 50 and over)  $          3,000

IRA/Roth IRA Contribution Limits

Traditional, non-deductible IRA contribution limit      None
Traditional, deductible IRA contribution limit  $          6,000
Roth IRA contribution limit  $          6,000
Roth IRA conversion limit   Unlimited
IRA/Roth IRA catch up amount (individuals 50 and over)  $          1,000

Health Savings Account (HSA) Limits

Health Savings Account (HSA) contribution limit – individuals  $          3,500
Health Savings Account (HSA) expense limit – individuals  $          6,750
Health Savings Account (HSA) contribution limit – families  $          7,000
Health Savings Account (HSA) expense limit – families  $        13,500

Standard Deduction Amounts

Standard Deduction (Single, or married filing separately)  $        12,200
Standard Deduction (Married, filing jointly)  $        24,400

CarsonAllaria Wealth Management does not provide tax or legal advice. All articles and posts are provided by CarsonAllaria Wealth Management (CAWM or firm) for informational purposes only. By accessing or otherwise using this Article, you agree to be bound by the terms and conditions set forth below. Investing involves the risk of loss and investors should be prepared to bear potential losses. Past performance may not be indicative of future results and may have been impacted by events and economic conditions that will not prevail in the future. Therefore, it should not be assumed that future performance of any specific security, investment product or investment strategy referenced in the Article, either directly or indirectly, will be profitable or equal to the corresponding indicated performance level(s). No portion of the Article shall be construed as a solicitation to buy or sell any specific security or investment product or to engage in any particular investment strategy. In addition, this Article shall not constitute the provision of personalized investment, tax or legal advice, and investors shall not assume this Article serves as a substitute for personalized individual advice. Information contained in this Article may have been derived from third-party sources that CAWM believes to be reliable; however CAWM does not control such information and does not guarantee the accuracy or timeliness of such information and disclaims all liability for damages resulting from such sources. Links or references to third-party websites are provided as a convenience and do not constitute an endorsement by CAWM, and the Firm is not responsible for the content of any such websites. Any reference to a market index is included for illustrative purposes only, as it is not possible to directly invest in an index. Indices are unmanaged, hypothetical vehicles that serve as market indicators and do not account for the deduction of management fees or transaction costs generally associated with investable products, which otherwise have the effect of reducing the performance of an actual investment portfolio.

Top