Higher-income limits for IRAs
The contribution limits for any individual retirement account (IRA) didn’t increase for 2022, BUT the INCOME limits did.
The income limits for Roth IRAs will determine if you’re eligible to contribute to this type of account, while the income limits for the traditional IRAs will show whether you are eligible to make tax-deductible contributions to this kind of account.
Both income limits have increased this year. For instance, the income phase-out range for Roth IRA contributions for just one person is $129,000 to $144,000, up from a range of $125,000 to $140,000.
Higher contribution limits for HSAs
Workplace retirement accounts won’t be the only ones. Your contribution limits for any health savings accounts, or HSAs, will also tend to increase every year. For 2022, the base contribution limits for people who are eligible for an HSA and also have these types of high-deductible health insurance policies will be:
- self-only coverage: $3,650 – and up from $3,600 for 2021
- family coverage: $7,300 – and up from $7,200
1 thought on “16 Income Tax Changes Coming in 2023”
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