Employee 401(k) contributions for 2020 can increase by $500 to $19,500, while the combined employer and employee contribution limit rises by $1,000 to $57,000, the IRS announced Nov. 6.

For participants ages 50 and over, the additional “catch-up” contribution limit will rise to $6,500, up by $500.
Because the IRS announced the 2020 contribution changes so late this year, many plan sponsors will need to provide addendums to benefits materials that have already been printed for the 2020 benefits open enrollment period.

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