All you need to know to plan for tax efficiency.
We know how important it is for you to prepare for tax efficiency year-round. To assist you in making decisions geared toward minimizing your tax burden, we’ve provided up-to-date tax-related information below. We recommend that you meet with your financial or tax advisor at least once a year for personalized guidance.
To schedule a complimentary, no-obligation appointment to discuss how these limits may impact you and your future retirement, click here.
2023-24 Tax Season Guide | VIEW HERE >
2023 Tax Statement Mailing Schedule | VIEW HERE >
Clients will receive 1099 Consolidated Tax Statements between January and March.
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2024 Tax Year
Retirement Plan Contribution Limits
The Internal Revenue Service (IRS) imposed the following retirement plan contribution limits for the 2024 tax year. The 2023 contribution limits remain at the bottom of this page for your reference.
IRA Contribution Limits
An individual must have received an equivalent amount of earned income during the tax year to contribute to an IRA.
Traditional: $7,000 (up $500)
Roth $7,000 (up $500)
Catch-up Contribution (age 50 & older): $1,000 (unchanged)
Maximum Contribution (age 50 & older): $8,000 (up $500)
(The annual total applies to both traditional and Roth IRAs combined.)
Traditional IRA Contributions Modified Adjusted Gross Income (MAGI) Limits for Tax Deductibility
When the taxpayer or spouse is covered by or eligible for an employer-sponsored retirement plan. If you and your spouse are not covered by an employer-sponsored plan, there are no income limits.
Single/Head of Household:* $77,000 – $87,000 (up from $73,000 – $83,000)
Married, Filing Jointly or Qualifying Widow(er): $123,000 – $143,000 (up from $116,000 – $136,000)
Married, Filing Jointly (taxpayer not covered by an employer-sponsored plan but spouse is):
$230,000 – $240,000 (up from $218,000 – $228,000)
Married, Filing Separately: $0 – $10,000 (unchanged; not subject to a COLA)
*If you file separately and did not live with your spouse at any time during the year, your IRA deduction is determined under the “Single” filing status.
Roth IRA Contributions MAGI Range Limits
Single Head of Household or Married Filing Separately (and you did not live with your spouse at any time during the year):
$146,000 – $161,000 (up from $138,000 – $153,000)
Married Filing Jointly or Qualifying Widow(er): $230,000 – $240,000 (up from $218,000 – $228,000)
Married Filing Separately (and you lived with your spouse at any time during the year): $0 – $10,000 (unchanged; not subject to COLA)
No Age-Based Limit on Traditional or Roth IRA Contributions and Conversions
As of January 2020, there are no age-based limits on making contributions to a Traditional IRA.
Contributions to a Roth IRA or SEP IRA are still permitted regardless of age provided that the individual making the contribution (or his or her spouse) received an equivalent amount of earned income during the tax year.
Conversions from a Traditional IRA to a Roth IRA are permitted regardless of age and the amount of earned income.
Contribution Limits for 401(k), 403(b), the Federal Government’s Thrift Savings Plan (TSP) and Most 457 Plans
Standard Limit: $23,000 (up $500)
Catch-up Contribution: (age 50 & older): $7,500 (unchanged)
Maximum Contribution (age 50 & older): $30,500 (up $500)
SIMPLE IRA and SIMPLE 401(k) Contribution Limits
Standard Limit: $16,000 (up $500)
Catch-up Contribution (age 50 & older): $3,500 (unchanged)
Maximum Contribution (age 50 & older): $19,500 (up $500)
For details on the 2024 retirement plan contribution and income limits, visit IRS.gov.
Retirement Savings Contributions Credit (Saver’s Credit) Contribution Limit
The Saver’s Credit is a tax credit for low-moderate income workers aged 18 and over.
Married/Filing Jointly: $76,500 (up $3,500)
Single/Head of Household: $57,375 (up $2,625)
Single & Married/Filing Separately: $38,250 (up $1,750)
Federal Pension COLA
COLA amounts are determined by the third quarter each year of the Bureau of Labor Statistics’ Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). Depending on the system under which a federal employee retires, the exact COLA amount varies.
Civil Service Retirement System (CSRS): 3.2% increase (down 5.5%)
Federal Employees Retirement System (FERS): 2.2% increase (down 5.5%)
For details on the 2024 federal retirement COLAs, visit OPM.gov.
Social Security and Supplemental Security Income (SSI) Cost-of-Living Adjustment (COLA)
The Social Security Act ties the annual COLA to the increase in the Consumer Price Index (CPI-W), as determined by the Department of Labor’s Bureau of Labor Statistics (BLS).
Effective January 1, 2024, Social Security and Supplemental Security Income (SSI) benefits are set to increase by 3.2% for eligible beneficiaries (down 5.5%).
For additional details on the annual cost-of-living adjustment, visit SSA.gov.
Annual Gift Tax Exclusion Limits
The annual gift tax exclusion limit is per unique giver and recipient. Gift recipients do not owe any taxes on the gift.
$18,000 per individual (up $1,000)
$36,000 per married couple (up $2,000)
For more information about gift taxation, see this FAQ on the IRS website.
Additional Change Made Under Secure 2.0 Act of December 2022
The deductibility limit on Qualified Charitable Distributions (QCDs) from retirement accounts is increased to $105,000 (up $5,000). You must be over age 70 ½ to make QCDs.
For details, visit IRS.gov.
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2023 Tax Year:
IRA Contributions
An individual must have received an equivalent amount of earned income during the tax year to contribute to an IRA.
Traditional: $6,500 in 2023 (a $500 increase from 2022)
Roth $6,500 in 2023 (a $500 increase from 2022)
Catch-up Contribution (age 50 & older): $1,000 in 2023 (unchanged from 2022)
Maximum Contribution (age 50 & older): $7,500 in 2023 (up $500 from 2022)
Traditional IRA Contributions Deductibility Modified Adjusted Gross Income (MAGI) Limits
When the taxpayer or spouse is covered by or eligible for an employer-sponsored retirement plan. If you and your spouse are not covered by an employer-sponsored plan, there are no income limits.
Single/Head of Household:* $73,000 – $83,000 in 2023 (up from $68,000 – $78,000 in 2022)
Married, Filing Jointly or Qualifying Widow(er): $116,000 – $136,000 in 2023 (up from $109,000 – $129,000 in 2022)
Married, Filing Jointly (taxpayer not covered by an employer-sponsored plan but spouse is):
$218,000 – $228,000 in 2023 (up from $204,000 – $214,000 in 2022)
Married, Filing Separately: $0 – $10,000 in 2023 (unchanged from 2022; not subject to a COLA)
*If you file separately and did not live with your spouse at any time during the year, your IRA deduction is determined under the “Single” filing status.
See the detailed chart at IRS.gov.
Roth IRA MAGI Range Income Limits & Contribution Amounts
Single Head of Household or Married Filing Separately (and you did not live with your spouse at any time during the year): $138,000 – $153,000 in 2023 (up from $129,000 – $144,000 in 2022)
Married Filing Jointly or Qualifying Widow(er): $218,000 – $228,000 in 2023 (up from $204,000 – $214,000 in 2022)
Married Filing Separately (and you lived with your spouse at any time during the year): $0 – $10,000 in 2023 (unchanged from 2022; not subject to COLA)
See the full chart at IRS.gov.
No Age-Based Limit on IRA Contributions or Roth Conversions
The passing of the SECURE ACT in 2019 eliminated the age-based limit on making contributions to a Traditional IRA, effective January 1, 2020.
Contributions to a Roth IRA or SEP IRA are still permitted regardless of age as long as the individual making the contribution (or his or her spouse) received an equivalent amount of earned income during the tax year.
Conversions from a Traditional IRA to a Roth IRA are permitted regardless of age and the amount of earned income.
Contributions to 401(k), 403(b) & most 457 plans, as well as the Federal Government’s Thrift Savings Plan (TSP)
Standard limit: $22,500 in 2023 (up $2,000 from 2022)
Catch-up contribution: (age 50 & older): $7,500 in 2023 (up $1,000 from 2022)
Maximum contribution (age 50 & older): $30,000 in 2023 (up $3,000 from 2022)
For details, visit IRS.gov.
Federal Pension COLA
Civil Service Retirement System (CSRS): 8.7% increase in 2023, up 2.8% from 2022.
Federal Employees Retirement System (FERS): 7.7% increase in 2023, up 2.8% from 2022.
For details on the 2023 federal retirement COLAs, see this Fedweek article.
Social Security and Supplemental Security Income (SSI) Cost-of-Living Adjustment (COLA)
The Social Security Act ties the annual COLA to the increase in the Consumer Price Index (CPI-W), as determined by the Department of Labor’s Bureau of Labor Statistics (BLS).
Effective January 1, 2023, Social Security and Supplemental Security Income (SSI) benefits are set to increase by 8.7% for eligible beneficiaries, a 2.8% increase over 2022.
For additional details, visit SSA.gov.
Annual Gift Tax Exclusion Limits
The annual gift tax exclusion limit is per unique giver and recipient. Gift recipients do not owe any taxes on the gift.
$17,000 per individual in 2023 (up $1,000 from 2022)
$34,000 per married couple in 2023 (up $2,000 from 2022)
For more information about gift taxation, see this FAQ on the IRS website.
