401k catch up
Автор: cakefinancial
Загружено: 2008-10-23
Просмотров: 777
Описание:
http://www.cakefinancial.com
Government guidelines specify the maximum you can contribute to a 401(k) plan— $15,500 in 2008. But there’s one major exception to this rule—the catch-up contribution.
If you’re a young worker, you have decades to save for retirement. But if you’re older and are just starting now, saving for retirement may seem like a lost cause.
To help, the government lets older works contribute a little bit more to their 401(k) plans. If you turn 50 before the end of a calendar year, you’re eligible for a “catch-up contribution.”
How much? In 2008, you can contribute an additional $5,000, making you eligible for a total contribution of $20,500.
In 2009 and after, catch-up contribution limits will be indexed for inflation. Your plan administrator or employer can provide you with details.
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