The Internal Revenue Service announced higher retirement plan contribution limits for 2019. The amount employees are eligible to contribute to a 401k or 403b plan at work will increase from the annual limit of $18,500 in 2018 to $19,000 in 2019. The catch-up contribution limit of $6,000 for people age 50 and older will not change next year.
Annual employee contribution limits to a SIMPLE plan will increase from $12,500 to $13,000. Traditional and Roth IRA contributions limits will increase to $6,000, and the $1,000 catch-up contribution will remain the same for people age 50 and older. The 2019 income phase-outs that determine whether all, or part, of a contribution are deductible are also increasing slightly.
Additional details regarding 2019 updates can be found on the IRS website.