Beginning in 2024, workers will be allowed to contribute up to $23,000 to their 401(k), an increase of $500 from this year. The increase applies to other retirement savings accounts, including the 403(b) plan, most 457 plans and the federal government’s Thrift Savings Plan.
I wish I made anywhere near enough to worry about maxing out my 401k
You’d have to make $225K if your company matches 5%, as a lot do
It’s $460k to max out at 5%.
The $23,000 is just the limit for how much pre-tax an individual can contribute. Employer matches are not subject to Federal income tax.
Ahh good point.
Oh wow, THANK YOU. I don’t know what I would have done without an extra measly $500 to save each year. There shouldn’t be limits in the first place. But that must people are hitting that anyway.
401(k)s are a goddamn scam and we should be able to get company contributions put into whatever savings account we want.
As a Canadian, I don’t know much a out how a 401(k) works. I’m hoping for your sakes it isn’t like Canada’s CPP, which is basically just the worlds largest ponzi scheme, and will likely collapse before anyone under 40 today retires. My whole life I’m essentially paying to prop up boomers in their retirement, and will see nothing when my time comes. But if I stop paying I go to prison.
I don’t know what you read and where you read from but:
The most recent triennial report by the Office of the Chief Actuary confirmed that the CPP is financially sustainable for at least 75 year [emphasis are mine]
That means, some 18 years old today could retire at 65 (in 47 years) and have guaranteed pension until at least he/she reaches 93 years old. That was limited to only as far as the report went (“at least”). You are certainly older than 18 if you already pay into the Canada Pension Plan. Therefore, you are guaranteed a pension until you are 93+. Complain to someone else if you know you will live to be 120 years old.
Moreover, a recent research comparing hundreds of pension, endowment, and sovereign wealth funds showed Canadian plans outperforming their international peers on all fronts over the past two decades. Source: The Canadian Pension Fund Model: A Quantitative Portrait — Alexander Beath, Sebastien Betermier, Chris Flynn, Quentin Spehner
Beyond that, I cannot help you if you wish to hold onto your falsehood as sacrosanct.
