The maximum amount workers can contribute to a 401(k) for 2018 is $18,500 if they’re younger than age 50. That’s a $500 increase from 2017, when the contribution limit was $18,000.Is there a contribution limit on 401K?
There is a limit to how much you, as the employee, can contribute to your 401k. This is also known as the 402g limit (you can exceed this limit by making catch-up contributions if you are over age 50). There’s a limit to how much you and your employer combined can contribute, which is known as the 415c limit.Is 401k contribution tax deductible?
Contributions you make to your 401(k) plan can reduce your tax liability at the end of the year as well as your tax withholding each pay period. However, you do not actually take a tax deduction on your income tax return for your 401(k) plan contributions.