Employees may be eligible for a tax credit for making elective 457(b) retirement plan contributions. This tax credit, which can be used to offset regular income tax liability, is meant to encourage retirement savings by low and middle-income taxpayers. The credit amount is 50%, 20%, or 10% of elective plan contributions, depending on the taxpayers adjusted gross income and filing status. The maximum credit is $1,000.
Saver’s Credit Income Limits
Consult your tax advisor for guidance on how these and other limits apply to your specific situation
|Tax Filing Status||2022||2021|
|Married Filing Jointly||$68,000||$66,000|
|Head of Household||$51,000||$49,500|
|Single, Married Filing Separately, or Widow(er)||$34,000||$33,000|
This material has been prepared for informational and educational purposes only and is not intended to provide investment, legal, or tax advice. Please consult your tax advisor for guidance on how these limits apply to your personal tax situation.
Colorado Retirement Association is not an investment advisor and does not make any representations nor guarantees as to the future performance, risk, or return of funds. This plan and its self-direction provisions are intended to constitute a plan similar to that described in section 404(c) of the Employee Retirement Income Security Act and Title 29 of the Code of Federal Regulations Section 2550.404c-1. The fiduciaries of this plan may be relieved of liability for any losses which are the direct and necessary result of investment instructions given by the employee.