Retirement Basics: How Much Can I Save?
Each year, the Internal Revenue Service (IRS) evaluates the amount you can set aside pre-tax for retirement. For 2011, the following limits are applicable to the retirement plans.
2011 Annual Contribution Limits
- Annual Pre-Tax Contribution Limit: $16,500
- Annual Pre-Tax Catch-up Contribution Limit: $5,500 (available if age 50 or older during the plan year)
- Total Contribution Limit: $49,000 (The maximum that can be contributed annually by the employee and the university combined.)
- Compensation Limit: $245,000 (This is the maximum eligible compensation that can be used for purposes of calculating any plan contribution.)
If you are eligible for the 457(b) Retirement Plan, you may make contributions to this plan up to the limits stated above except there is no catch-up contribution for the 457(b) plan.
Want to Change Your Contribution?
To change the amount you are voluntarily contributing to the 403(b) Plan, you must submit a new "Salary Reduction Agreement"; form. This form may be returned to the Benefits Service Center by fax at 443-997-5820. Completed paperwork received by the 5th of the month will be effective in the second pay for that month. Completed paperwork received by the 20th of the month will be effective with the first pay of the following month.