2023 IRA and 401(k) Contribution Limits

For 2023, retirement account contribution limits will increase from 2022 amounts. Retirement accounts include Individual Retirement Arrangements (IRAs), 401(k), 403(b) and 457 plans among others. State employees have access to 401(k) and 457 plans through Savings Plus.

2023 Contribution Limits for Retirement Accounts

Employment with the State of California offers many great benefits. Among those benefits is the guaranteed retirement income state employees earn through the CalPERS pension system.

But there is another form of retirement planning the State makes available to its employees. Savings Plus is a voluntary retirement planning program that offers 401(k) and 457(b) retirement accounts. These accounts are funded through automatic payroll deductions and are a great way to save additional money for retirement.

The California Job Blog has a more in-depth article about Savings Plus, how these account work and the investment options available to State employees.

The purpose of this article is to highlight the contribution limits for the main types of retirement accounts. The tables below show the limits for 401(k), 457(b) and IRA accounts. 401(k) and 457(b) have identical limits.

IRAs are accounts available to set up at any time. They are set up through a bank and are unrelated to a specific employer. Contributions are made similar to a savings account, rather than through payroll deductions. We've included contribution limits for these accounts as well.

IRA

Year	Limit
2021	$6,000
2022	$6,000
2023	$6,500

IRA (50 or older)

Year	Limit
2021	$7,000
2022	$7,000
2023	$7,500

401(k) & 457(b)

Year	Limit
2021	$19,500
2022	$20,500
2023	$22,500

40(k) & 457(b) (50 or older)

Year	Limit
2021	$26,000*
2022	$27,000*
2023	$30,000**

* Total includes catch-up contribution limit of $6,500

** Total includes catch-up contribution limit of $7,500

Taxpayers have up until the tax-filing deadline to make prior year contributions to Roth and Traditional IRAs. The deadline to file 2022 taxes is Monday, April 17, 2023.

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Related Articles:

• Savings Plus: 401(k) and 457(b)
• State of California Employee Benefits
• State of California Retired Annuitants