The Expert Podcast

Here's one possibly positive side effect of inflation we've all dealt with inflation with gas prices and food prices and insurance but there may be a silver lining to some of the inflation in that contributions to 401k plans might be increasing meaning that the government may allow higher limits on contributions to 401ks right now it's just over 20 000 the experts are predicting that in the next by the end of this year it'll go up to 22 maybe even 23 000 for contribution limit so if you have a 401k plan with your employer make sure you keep an eye on what the maximum limits are and you max out that limit especially if you have an employer match because that's free money it's like a free raise from your employer by putting more money in so you don't want to miss out on that free money.

And even if you don't have a match on any additional funds putting that extra money in saves you on income taxes and as we know income tax is an expense you can avoid using many legal processes offered by the government like 401k so if they're giving you an option to put more money in without paying income tax you definitely want to take advantage of it so keep an eye on those laws as they're being passed for increases in 401k plan maximum limits.