Maximum IRA Contribution Limits for 2019 & 2020

Catch up on provisions, IRA comparison, and deadlines.

Take advantage of tax benefits while saving for retirement in a self-directed IRA. You can establish a self-directed IRA account with a cash contribution. Check out how much you can contribute to an IRA and the deadline to make this contribution.

2019-2020 Self-Directed Traditional IRA and Roth IRA Contribution Limits

2019
2020
Traditional IRA and Roth IRA
Contribution Limits if Under Age 50
$6,000
$6,000
Traditional IRA and Roth IRA
Catch-Up Contribution if Over Age 50
+$1,000
+$1,000
Contribution Deadline
July 15, 2020
April 15, 2021

2019-2020 Self-Directed SEP IRA Contribution Limits

2019
2020
SEP Employer Contribution Limits
Up to 25% of compensation, with a maximum of $56,000
Up to 25% of compensation, with a maximum of $57,000
Employee Contributions
N/A
N/A
Employer Contribution Deadline
Employer’s tax filing deadline (including extensions)
Employer’s tax filing deadline (including extensions)

2019-2020 Self-Directed SIMPLE IRA Contribution Limits

2019
2020
Employee Contribution Limits if Under 50
$13,000
$13,500
Catch-Up Employee Contribution Limits if Over Age 50
+$3,000
+$3,000
SIMPLE Employer Contribution
Mandatory 3% matching contribution or 2% non-elective contribution
Mandatory 3% matching contribution or 2% non-elective contribution
Employee Contribution Deadline
No later than 30 days after the month in which deferred
No later than 30 days after the month in which deferred
Employer Contribution Deadline
Employer’s tax filing deadline (including extensions)
Employer’s tax filing deadline (including extensions)
Self-Employed (with no common-law employees) Contribution Deadline
January 30, 2020
January 30, 2021

2019-2020 Coverdell Education Savings Account (ESA) Contribution Limits

2019
2020
Contribution Limits
$2,000 per year until the child is age 18 or has special needs.
$2,000 per year until the child is age 18 or has special needs.
Contribution Deadline
July 15, 2020
April 15, 2021

2019-2020 Health Savings Account (HSA) Contribution Limits

2019
2020
High Deductibles/Out-of-Pocket Limits
Single coverage:
minimum $1,350 / maximum $6,750

Family coverage:
minimum $2,700 / maximum $13,500
Single coverage:
minimum $1,400 / maximum $6,900

Family coverage:
minimum $2,800 / maximum $13,800
Contribution Limits
Single coverage: $3,500

Family coverage: $7,000
Single coverage: $3,550

Family coverage: $7,100
Catch-Up if Over Age 55
$1,000
$1,000
Contribution Deadline
July 15, 2020
April 15, 2021

IRA Comparison Chart 2020

SEP IRA
SIMPLE IRA
ROTH IRA
TRADITIONAL
Eligibility
Self-employed individuals or small business owners, including those with employees: sole proprietors, partnerships, C corporations, S corporations
Businesses with 100 or fewer employees: sole proprietors, partnerships, C corporations, S corporations

Participating employees must have earned at least $5,000 in compensation during any two years preceding
No age limit

Must have earned income
No age limit

Must have earned income
Contribution Limits
Employer: 25% of compensation or maximum cap for the year (the lesser amount)

2019 max:
$56,000

2020 max:
$57,000

Each eligible employee must receive the same percentage.

Contributions are not mandatory.
Employer contributions: Mandatory 3% matching contribution or 2% non-elective

Participant contributions:

2019: Up to $13,000 in salary deferrals ($16,000 if age 50 or older)

2020: Up to $13,500 in salary deferrals ($16,500 if age 50 or older)
2019: $6,000 ($7,000 if age 50 or older)

2020: $6,000 ($7,000 if age 50 or older)

Contributions are not tax-deductible.
2019: $6,000 ($7,000 if age 50 or older)

2020: $6,000 ($7,000 if age 50 or older)
Highlights
Tax-deferred, so you don’t pay taxes until withdrawn at retirement

Tax-deductible contributions

Easy to set up and maintain

Funded by employer contributions only
Tax deferred, so you don’t pay taxes until withdrawn at retirement

Employer contributions are deductible as business expenses

Funded by employee deferrals and employer contributions
Earnings grow tax-free

Taxes are paid up front, so you’re able to withdraw your contributions tax-free and penalty-free at any time
Tax-deductible contributions based on Modified Adjusted GrossIncome (MAGI)
Contribution Deadline
Employers only:Employer’s tax filing deadline (including extensions)
Employees:No later than 30 days after the month in which deferred

Employer: Employer’s tax filing deadline (including extensions)

Self-employed (with no common-law employees): January 30
April 15
April 15