2022 Increase: Retirement Plan Contribution Limits
November 29, 2021
The IRS recently announced an increase in the 2022 retirement plan contribution limits. The limits apply to the UW 403(b) Supplemental Retirement Program (SRP) and the Wisconsin Deferred Compensation (WDC) 457 Program.
Contributions
In 2022, employees may contribute a basic maximum of $20,500 to the UW 403(b) SRP (an increase from $19,500 in 2021). Employees age 50 and over can contribute an additional $6,500 (no change from 2021 limit) for a total of $27,000. These same limits apply to WDC.
If you have 15 years or more of service with the UW System and have contributed less than an average of $5,000 per year over your UW System employment, you may have an additional "catch-up" opportunity with the UW 403(b) SRP. Contact your institution benefits contact for more information.
Both pre-tax and Roth (after-tax) contributions count towards the annual limits. Note: Individual Retirement Accounts (IRAs) are a type of retirement account separate from the UW SRP and WDC Program and have separate limits.
Change Elections and Enrolling in the 403(b) SRP
To increase (or decrease) your UW 403(b) SRP deduction:
• Login to the MyUW portal
• Launch the Benefits Information tile
• On the bottom of the screen, click on “Update 403(b) Deductions” and follow the additional instructions to make your change(s)
To enroll for the first time:
• Use the EZ Enrollment Form
• Or complete a Salary Reduction Agreement eForm and set your account up online (or paper application) with the provider(s) of your choice
For questions on the 403(b) SRP, visit the SRP web page. As a reminder there are changes effective January 1, 2022, to the 403(b) SRP. To review information on upcoming changes to the UW 403(b) SRP, see the UW 403(b) Program Enhancements web page.
WDC Program
To change your WDC contribution call the WDC office at (877) 457-9327 or access your account at the WDC website. The WDC website also has information about enrolling in the program. WDC changes must be made with Empower, the third-party WDC plan administrator.
Source: UW System Human Resources
Categories: Payroll