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2013 401(k) limit: $17,500; catchup unchanged
Old 10-18-2012, 02:28 PM   #1
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2013 401(k) limit: $17,500; catchup unchanged

IRS raises 401(k) contribution limit to $17,500 - Oct. 18, 2012

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The tax-free contribution limit for retirement plans will increase to $17,500 for 2013, up from $17,000 this year, the IRS announced Thursday.

...

However, the catch-up contribution limit, which is the additional amount of tax-free money employees over 50 can contribute to their retirement plans -- on top of the $17,500 that any employee can contribute -- remains unchanged at $5,500.
From what I've read, the IRA limits are also expected to be upped by $500, from $5,000 to $5,500. HSA contribution limits are already published for 2013, at $3,250 for individual and $6,450 for family plans (up $150 and $200 respectively from 2012).
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Old 10-18-2012, 05:20 PM   #2
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Sweet! $2000 more tax deferral opportunities for our household in 2013, plus maybe $6450 for doing and HSA. Not only won't we pay any federal income tax*, we might get a big fat refund due to child tax credits. America is truly great.

* unless the Bush cuts are not continued in substantially similar form
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Old 10-18-2012, 07:05 PM   #3
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Don't the FSA (Flexible Spending Account) limits kick in 2013? I seem to recall it's $2,500. Glad we had DS#2's lasik surgery done last year.
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Old 10-18-2012, 07:11 PM   #4
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Yep, I read $2500 limit on FSA's for 2013 as well...
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Old 10-18-2012, 09:23 PM   #5
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Just to be complete the rise applies to 403b and 457 as well.
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Old 10-19-2012, 06:38 PM   #6
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Yippee! $5,500 for IRAs too!
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Old 10-19-2012, 06:40 PM   #7
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http://www.irs.gov/Retirement-Plans/...-Contributions
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Old 10-19-2012, 06:48 PM   #8
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Quote:
Originally Posted by ziggy29 View Post
IRS raises 401(k) contribution limit to $17,500 - Oct. 18, 2012



From what I've read, the IRA limits are also expected to be upped by $500, from $5,000 to $5,500. HSA contribution limits are already published for 2013, at $3,250 for individual and $6,450 for family plans (up $150 and $200 respectively from 2012).
Hi, so the $17,500 total figure...is that plus your company match? or combined with personal pre-tax savings. If your company matches 50% can you put in another $8750? Thanks!
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Old 10-19-2012, 10:23 PM   #9
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Originally Posted by Triplet Dad View Post
Hi, so the $17,500 total figure...is that plus your company match? or combined with personal pre-tax savings. If your company matches 50% can you put in another $8750? Thanks!
$17,500 is your contribution. With a full 50% company match on that amount you will have a total of $26,250 annual contribution to your 401k, plus catch-up contributions are available if you are over 50.
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Old 10-19-2012, 10:30 PM   #10
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Yippee! $5,500 for IRAs too!
$6500 for some of us more "experienced" investors...
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Old 10-20-2012, 12:00 AM   #11
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YAY!
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Old 10-20-2012, 09:06 AM   #12
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Hi all,
I have one question may sound stupid, I just retired this year and have a significant portion of my retirement cash in my taxable account. I have always contributed the max to my 401k(moved all to IRA at vanguard now). I will not be tapping my IRA for about 7-8 years. My question is can I continue to contribute the max even tho I don't have a 401k anymore? I would love to move some of that taxable cash to tax deferred over the next few years. I am 55 years old and the ball and chain 52.

just wondering ?
Thanks all in advance
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Old 10-20-2012, 09:58 AM   #13
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Originally Posted by harry06880
My question is can I continue to contribute the max even tho I don't have a 401k anymore? I would love to move some of that taxable cash to tax deferred over the next few years. I am 55 years old and the ball and chain 52.

just wondering ?
Thanks all in advance
You have to have earned income in order to contribute to retirement accounts.
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Old 10-20-2012, 10:53 AM   #14
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Yep, I read $2500 limit on FSA's for 2013 as well...
We were discussing this at w*rk this week (it is medical benefit season -- and are rates are up -- another story).

Someone said that this was part of the new healthcare law. Someone shot back "no politics on this board". Wow, touchy. All he said was part of the new law. That's it.

Too much yelling in America today. I appreciate the level heads around here.
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Old 10-20-2012, 11:04 AM   #15
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Originally Posted by ziggy29 View Post
HSA contribution limits are already published for 2013, at $3,250 for individual and $6,450 for family plans (up $150 and $200 respectively from 2012).
Plus another $1K catchup for those over age 55
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Old 10-20-2012, 11:51 AM   #16
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Originally Posted by harry06880 View Post
Hi all,
I have one question may sound stupid, I just retired this year and have a significant portion of my retirement cash in my taxable account. I have always contributed the max to my 401k(moved all to IRA at vanguard now). I will not be tapping my IRA for about 7-8 years. My question is can I continue to contribute the max even tho I don't have a 401k anymore? I would love to move some of that taxable cash to tax deferred over the next few years. I am 55 years old and the ball and chain 52.

just wondering ?
Thanks all in advance
If you have some earned income from this last year at work then you can contribute to your IRA this year, but after that you won't be be able to make any contributions, unless you or your wife has earned income. If one spouse has earned income then both can contribute to their IRA's.
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Old 10-21-2012, 05:44 PM   #17
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I'm going to take advantage of the slightly increased 401K and Roth IRA limits for next year
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Old 10-22-2012, 06:58 AM   #18
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Thanks all,

looks like all I'll have is a dividend income for 2013, so will check with my tax guy to see if there is anything I can do.

thanks again
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Old 10-22-2012, 12:39 PM   #19
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Yep, I read $2500 limit on FSA's for 2013 as well...
And my son is just starting braces... right when a higher limit would be more useful.

Oh well.
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Old 10-22-2012, 01:50 PM   #20
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And my son is just starting braces... right when a higher limit would be more useful.
My ortho had a 0 interest payment plan. You can check to see if yours does, that way you can spread the pain over a few years to try to get it all under your FSA.
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