December 5, 2013

IRS announces 2014 retirement plan contribution limits; you may want to change your contribution

Each year, the IRS adjusts the limits for retirement plan contributions to reflect price and wage inflation. For the 2014 calendar year:

• Individuals can contribute up to $17,500
• Individuals age 50 or older can contribute an additional $5,500, for a maximum of $23,000

To change your contribution amount for 2014, complete the Retirement Plan Election Form and return it to Human Resources by Dec. 31, 2013. (Note that you can change your contribution amounts once per quarter.)

While you’re thinking about your retirement contributions for 2014, keep in mind that the IRS requires employees to report outside retirement contributions. If you own a controlling interest in, and make retirement contributions with, an outside for-profit business, you will need to complete a 415(g) Aggregation Form.

Learn more on the Retirement Plan website. If you have questions, contact the Employee Service Center at human.resources@vanderbilt.edu or 343-7000.