Employees can contribute up to $22,500 to 401(k) in 2023: IRS

Largely due to inflation, the amount that individuals can contribute to 401(k) plans will increase to $22,500 in 2023 up from the current $20,500, according to the Internal Revenue Service, reports BenefitsPro. The new contribution limit – which is a 9.8% increase making it the largest increase on record – includes employees who participate in 401(k), 403(b), most 457 plans and the federal government’s Thrift Savings Plan.