2020 contribution limits | Roth IRA, Traditional IRA, 401(k)

by | Sep 12, 2022 | Traditional IRA | 27 comments

2020 contribution limits | Roth IRA, Traditional IRA, 401(k)




In this video, I’m going over the 2020 contribution limits for retirement plans. 401k, 403b, 457 Plans, and Federal Government Thrift Savings Plan, IRA, Roth IRA, Non-deductible contributions. These are the retirement planning changes from 2019 to 2020.

Here is the updated version of this video for 2021

/////////////////////////////////////////////////
Get answers FASTER…
Join this channel to get access to perks:

—————————————————–
Are you ready for professional investment advice? We can help you with financial planning and asset management. Let us guide your investments to your financial freedom. START HERE

Our financial planning process is an ongoing relationship because as you grow, your financial plan grows with you. At Sickle Hunter Financial Advisors, we believe that saving and making sound financial decisions will help improve your life’s changing needs and objectives. Retirement, college planning, wealth building, social security, and career benefit packets are only a few of the financial decisions that you may face in your lifetime and we’re here to help guide you.

TRAVIS T SICKLE, CFP®, EA®, AAMS®, CRPC®, RICP®
CERTIFIED FINANCIAL PLANNER™

Company Website:
twitter: @travissickle
Instagram:
facebook:
LinkedIn:

Sickle Hunter Financial Advisors
1646 W Snow Avenue
Suite 144
Tampa, FL 33606

Check out Google Business Profile
——————————————————-

Gear Used in Videos

Partnership referral links
Aura Identity Theft Protection *Up to 50% off* HTTPS://www.aura.com/travis
Seeking Alpha *ONLY $99 ($̶2̶3̶9̶) for the annual plan*

All Amazon links are affiliate links
____________________________________________________________________________
Information in this video is for educational and entertainment purposes only.
sicklehunter.com/disclosures
____________________________________________________________________________

#travissickle…(read more)


LEARN MORE ABOUT: IRA Accounts

INVESTING IN A GOLD IRA: Gold IRA Account

INVESTING IN A SILVER IRA: Silver IRA Account

REVEALED: Best Gold Backed IRA

See also  Early Retirement: 5 Tips for Managing Your Finances

Truth about Gold
You May Also Like

27 Comments

  1. Bartosz Dobroslaw

    Great stocks and I just bought in on them, but I'm interested in making short term profit, let say turn a $150K to $500k in 6months, I'd appreciate tips on how what stocks to buy to make this much profit.

  2. Lauren C. Edwards

    Nice video, well I am new to online investments, I have been practicing using a demo account. I like to prepare for my future, I wanna start up a Roth IRA account. I don't know much about it or which is better. I am scared that I don't know enough to start all by myself. I am willing to try, but I need help with what to do next.

  3. Albert Kim

    Hi Travis could you please share your ideas how to fix over contribution in prior years as i was not deducting it on my return and when i try to fix it by withdrawing it in the following year before extension deadline in October 15th it. The SEP IRA custodian treats it as distribution and it will be charged as income plus 10% penalty which is unfair. As it was never deducted from income.
    For example i overcontributed $1000 over my limit of let's say 7000. On my return in 2020 i only deducted as per my limit $7000 even i overcontributed $1000. Now in 2021 i transfering my overcontribution of $1000 back. And it is treated as distribution even though i never deducted it on my 2020 and i still have time with my extension till October 15th 2021. Let me know what you think.

  4. Mk

    Awesome !!!!

  5. ramya shree

    Hi sir. Your videos are really helpful thanks.
    Can you plz cover the deposit of contribution and sequences of late deposit by employer as well. Or at least reply on where to source the same.

  6. Ryan I

    If your employer offers both a 401(k) and Roth 401(k), would you be allowed the normal 401(k) contribution limit based on the accounts combined, or each individually?
    In other words, if you contributed to both, would you be allowed the limit for each account, or just the combined amount?

  7. D Walker

    Thank you

  8. Len Ovo

    Question though – If you put in the 19,500 in traditional for 2020, are you then prohibited from investing in roth ? Or, can you still put in another 6 k in the roth, plus the 19,500 for a total agregate of 25,500 for the year ? (obv. more if your over 50, but let's keep it simple).

  9. Paul B

    What about Spillover into post-86 that allows you to contribute beyond the max, which actually tops out at 57000 for 2020. If that money is then rolled over to the roth, are you subject to the roth 401k limits for that year, or is that more of an unaccounted for feature of the recent changes in retirement savings.

  10. Al Len

    My company offers traditional 401k and Roth IRA with a match. Am I allowed to contribute max amount of $19,500 in traditional 401k PLUS $6,000 Roth 401k (as long I am within the phaseout income limit)?
    Also, can my wife do the same? We are filling tax MFJ. TY

  11. Banana Finances

    Can you contribute the maximum limit to a 401k and to the Roth IRA limit? So say I want to do the max in a traditional 401k and also max a personal Roth IRA. Can you contribute the max in both?

  12. Michelle Culbert

    Thank you sm for this video. I am in a predicament and not sure how to proceed. I have a 401k with my employer that has a match limit. I also just opened up a Traditional IRA to lower my taxable income and have another investment account. The problem is I just learned my salary is too high (>75k) to receive that deduction. So how am I benefiting from contributing to my IRA? I think it is too late to switch to a ROTH. UGH!

  13. Vineel Pusarla

    Hi Travis
    I will be working only for 3 months in 2021. I opted for max contribution and by the end of the 3 monthly my contribution will be 9000
    as annual limit is 19500.
    did i contribute more based on prorate?
    can I still max out my contributions?

  14. Macky Mac

    Is it a requirement to make contributions annually to ROTH IRA or can I just open an account with a certain amount and either just leave it there and let it grow over time or just contribute whenever I like since I already have 401K anyway.

  15. Syed Rizvi

    Great information thank you!

  16. Paul S

    I maxed out my pretax 457b plan through my employer for 2020. I also maxed out my Roth IRA with Vanguard for 2020. Can I still contribute to a traditional IRA and if so how much can I contribute? I’m finally learning about the finance world and I’ve been watching your videos. Thank you for all that you do.

  17. WTF

    I am currently contributing to a 401K at work. In addition, I am also contributing to a traditional IRA. But as this video has stated my contributions to my traditional IRA do not lower my taxable income. So the question is what benefit do I gain by contributing to a non deductible IRA? Am i better off contributing to a Roth IRA with after tax money instead? My income is high and I am looking to lower my taxable income.

  18. Patricia Clark

    Great video, Anyway, I count myself as one of the very successful stock traders, this is as a result of the amazing strategy of JOANNA MARIA JERVIS in her Trading platform. I made my first millions from her platform and guess what? She is very honest and trustworthy. I finally got my financial freedom since I started trading with her. she's the only broker I can trust with my money.

  19. gegaoli

    Is anyone able to answer a two basic questions for me: 1) what is the max amount one can contribute (non deductible or otherwise) to a Roth IRA in 2020 if AGI is >$198k but < $206k? 2) what is the max amount someone can contribute (non deductible) to a regular IRA in 2021 if AGI is >$206k ? In both cases one spouse has existing employer 401k.

  20. Guest

    Great job Travis. Truly a wonderful piece you posted. Thanks!

  21. Eixel84

    So, can I max my traditional TSP 19,500 a year and also max my roth ira at 6,000 a year? Thus saving 25,500 a year for retirement?

  22. Shayna Jin

    Learned a lot, thanks for the content , good job!

  23. Phuong Le

    Thank you so much Travis. This is the clearest explanation of the 401(k) and IRA's that I have came across. I have one question for clarification of my own situation: I am 55 yr-old, married (MJF) with a AGI of $80,000 in 2020, I contributed the max of $26,000 for my work-place 401(k) plan. My question is, are we still allowed to open a traditional IRA or Roth IRA account for an additional $7,000 contribution? I wasn't clear whether the $26,000 or the $33,000 should be the total amount (401k and IRA).

  24. aneel156

    So technically I can contribute 19,500 into my 457roth at work and also contribute 6000 (considering i qualify for income limitations or i use the Backdoor roth route) into my Individual roth ira for a total of $25,500 in 2 different roth accounts ?

  25. Donald Miller

    The non-deductible IRAs have a negative side. When you take distributions you can't take out the non-deductble non-taxable portion out separately . From what I have read have to take only as percent of total traditional IRAs as withdrawn resulting in not being able to withdraw the tax free base portion you originally paid for years along with tracking base calculations for portion tax free for years. I never would take a non-deductible IRA like I did if I had known this would happen but would have invested monies elsewhere.

  26. Frank0020

    Max contribution on a roll over ira?
    What if my 401k only has s and p 500; can I start my own 401k elsewhere?

U.S. National Debt

The current U.S. national debt:
$35,951,601,173,936

Source

ben stein recessions & depressions

Retirement Age Calculator

  Original Size