Increased Contributions Limits

The IRS announced cost of living adjustments in the contribution limits to popular retirement savings accounts for 2019.  The limit allowed to be contributed by employees to a 401(k), 403(b), Thrift Savings Plans, and 457 plans for 2019 increased from $18,500 to $19,000.  Participants over the age of 50 can contribute an additional $6,000 (unchanged from 2018). Contribution limits to …

Back-Door Roth Contributions

Because of the nature of tax-free growth and distributions, Roth IRAs are one of the more valuable savings tools available. The one major hurdle to these accounts is the income limitation when making direct contributions. In 2018, for single filers contributions to a Roth IRA are phased out for people with Modified Adjusted Gross Income (MAGI) above $120,000 and completely …