Retirement Account Contributions

Contributing to retirement accounts can significantly reduce your taxable income.

For 2024 (which affects your 2025 tax filing), the contribution limits are:

• Traditional and Roth IRAs: $7,000 ($8,000 if you're 50 or older)
• 401(k) plans: $23,000 ($30,500 if you're 50 or older)

Remember, you have until the tax filing deadline in 2025 to make IRA contributions for the 2024 tax year.