“What are 401k Catch Up Contributions?”
Contributions to a traditional 401k are limited to $18,500 in 2018. If you are over age 50, then you may be eligible to set aside up to $24,500 in 2018. That’s an additional $6000 of salary deferral just for being over 50.
A participant is catch up eligible with respect to a plan year if the participant turns age 50 by the end of the calendar year in which the plan year ends and the participant is eligible to make elective deferrals under the plan.
Join us each week for the Savvy Minute.
Catherine Magaña is a CFP® or CERTIFIED FINANCIAL PLANNER TM in Carlsbad California.
If you would like to set up a free 30 minute financial assessment she can be reached at 760-692-5700, email@example.com for private message or click on the following link to contact us directly https://savvyup.com/contact .
Sign up for our “Savvy Up Today!” newsletter by clicking on the following link http://eepurl.com/cr6vEb to receive financial tips about investing, managing your money, planning for retirement and invites to upcoming events. Get Savvy about your Finances & Live your Life Empowered!