1. Increased 401(k) and 403(b) Contribution Limits

For 2025, the contribution limit for 401(k) and 403(b) plans has risen to $23,500 (up from $23,000 in 2024) for individuals under 50. Those aged 50 and older can still make catch-up contributions of $7,500, while those aged 60 to 63 are eligible to contribute an additional $11,250 as part of the SECURE 2.0 provisions. Combined contribution limits, including those from employers, have increased to:

• Under 50: $70,000
• 50 and older: $77,500
• 60-63 (with SECURE 2.0 catch-up): $81,250

2. SEP IRA Contribution Limit

Contributions to Simplified Employee Pension (SEP) IRAs have also increased slightly, with the limit rising to $70,000 for 2025 (up from $69,000 in 2024).

3. Health Savings Account (HSA) Limits

Health savings accounts continue to provide excellent tax advantages, and their contribution limits are increasing in 2025:

• Individuals: $4,300 (up from $4,150)
• Families: $8,550 (up from $8,300)
• Catch-Up (55+): Remains at $1,000

4. Cost-of-Living Adjustment (COLA) for Social Security

The Social Security cost-of-living adjustment (COLA) for 2025 is set at 2.5%. Although this figure reflects a moderating inflation