The IRS has some good news for workers who use traditional or Roth IRAs to save for retirement. In 2023, you’ll be able to contribute an additional $500 to either account. It’s the first increase since 2019, bringing the total annual contribution limit to $6,500. Those age 50 and older can contribute an additional $1,000.
The IRS also increased the income ranges on IRAs, allowing you to earn more money and still take advantage of the tax-free Roth account or the tax-deferred traditional IRA.
You will also be able to save more through workplace retirement plans such as 401(k)s and 403(b)s in 2023 thanks to the latest annual adjustments. Here’s what else you need to know.
