- Posted October 24, 2011
- Tweet This | Share on Facebook
IRS boosts maximum 401(k) contribution to $17,000

WASHINGTON (AP) -- The Internal Revenue Service is boosting the maximum contribution that workers can make to their 401(k) pension plans without paying upfront taxes. The limit will rise to $17,000 next year.
The increase, required by law to adjust for inflation, is $500 higher than this year's level. The ceiling hadn't grown since 2009 because inflation had been too low to trigger an increase.
Companies that set up 401(k) plans for their employees are free to limit maximum contributions at levels below the legal ceiling, and many do.
Thirty-three percent of workers aged 21-64 used 401(k) plans in 2009, the most recent year for which figures are available. That's according to the Employee Benefit Research Institute, a non-partisan research group that advocates strong employee benefit programs.
Published: Mon, Oct 24, 2011
headlines Oakland County
- Whitmer signs gun violence prevention legislation
- Department of Attorney General conducts statewide warrant sweep, arrests 9
- Adoptive families across Michigan recognized during Adoption Day and Month
- Reproductive Health Act signed into law
- Case study: Documentary highlights history of courts in the Eastern District
headlines National
- ACLU and BigLaw firm use ‘Orange is the New Black’ in hashtag effort to promote NY jail reform
- Judge accused of using ‘game or jail’ tactic, asserting abuse victims get ‘Super Bowl’ neurochemicals
- Prosecutor gets suspension for invading jury’s ‘inner sanctum’
- Lateral hiring bounced back in 2024, especially for associates in BigLaw, new NALP report says
- Refugee ban can’t be enforced against those who received conditional approval, 9th Circuit says
- ABA, more than 50 bar associations condemn ‘government actions that seek to twist the scales of justice’