2022 Annual TSP Contribution Limit to Top $20k

The IRS has announced the 2022 annual contribution limits for the TSP and IRAs.

The annual contribution limit for federal employees investing in the Thrift Savings Plan is increasing next year to $20,500 according to the new Internal Revenue Service guidelines.

The annual contribution limit for the TSP, 401(k), 403(b), and most 457 plans is increasing just over 5% over the 2021 annual limit, going from $19,500 in 2021 to $20,500 next year.

The limit on catch-up contributions for individuals aged 50 or over remains unchanged at $6,500. Therefore, federal employees who participate in the TSP who are 50 and older can contribute up to $27,000 starting January 1, 2022.

For Individual Retirement Accounts (IRA), the limit on annual contributions remains unchanged at $6,000. The IRA catch-up contribution limit for individuals aged 50 and over is not subject to an annual cost-of-living adjustment and remains $1,000.

Additional details can be found in the IRS notice: 2022 Limitations Adjusted as Provided in Section 415(d), etc.

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Ian Smith is one of the co-founders of FedSmith.com. He enjoys writing about current topics that affect the federal workforce.