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Yeah, the company doesn't put a limit on it but the IRS of course still has a limit. The IRS limit goes up with every passing year though, and thus the company
by CydeWeys 6y ago
Yeah, the company doesn't put a limit on it but the IRS of course still has a limit. The IRS limit goes up with every passing year though, and thus the company contributions do too.
- jsight 6y agoThe limit actually didn't go up this year.
- CydeWeys 6y agoTo restate: It goes up over time, not necessarily strictly every year. Though this year the all-source contribution limit went from $57k to $58k, which benefits those of us taking advantage of megadoor 401ks. And while the IRS is trying to match inflation, companies aren't necessarily, so having no limit lets you march along with inflation whereas having a defined limit that your company isn't increasing to keep pace with inflation will leave you falling behind.