In Notice 2020-79, the IRS released updated annual retirement plan limitations. Many remain unchanged from 2020 levels, including the elective deferral limits for 401(k) plans of $19,500 and IRA contribution limits of $6,000.

Income phase-out ranges for various IRA purposes increased very slightly. Review Notice 2020-79 for details.

As with any election year, there is a possibility for changes to the existing tax landscape in the near future. Vice President Biden has included changes to retirement plan tax consequences in his current proposal, but obviously, nothing is certain at this date. Should those changes become likely, an understanding of the impact on your financial situation will be important.