Is one of your new year’s resolutions to contribute more to your U-M Retiring Savings Plans? If your answer is yes, you’ll be interested in the 2025 contribution limits recently set by the IRS.
At the end of each year, the IRS reviews retirement contribution limits and sets new ones for the next year. The 2025 limits affect U-M’s Basic Retirement Plan, 403(b) Supplemental Retirement Account (SRA) and 457(b) Deferred Compensation Plan.
2025 Limit Increases
For 2025, the IRS increased retirement contribution limits and added a new age 60 catch-up provision.
The limit on contributions to U-M’s 403(b) SRA and 457(b) is $23,500 for each plan. The limit on the 403(b) SRA includes your 5% contribution (if you make one) to the 403(b) Basic Retirement Plan.
If you’re 50 or older, the limit for the age 50 catch up allowance increased by $7,500 for each plan, making it $31,000 through 2025.
New Age 60 Catch-up
A new provision for people ages 60-63 also is available this year. The age 60 catch-up provision, part of the federal Secure Act 2.0, allows those age-eligible to increase annual contributions by a significant amount – $11,250 – to their 403(b) SRA and 457(b). The 2025 limit is now $34,750.
View Your Contributions
If you’re unsure what you’re currently contributing to your U-M Retirement Savings Plans, view your contributions for the year and your remaining paychecks on Wolverine Access:
- Select the Faculty & Staff tab
- Select Employee Self-Service
- Click on Benefits
- Click on Calculate Ret. Contribution under Retirement Self Service
Contribution Change Deadlines
You may change your contributions to your 403(b) SRA and 457(b) plans at any time. Your deadline to make these changes will depend on whether you’re paid monthly or every other week.
View the deadlines and more details on the Online Enrollment and Change Deadlines web page.
For More Info
For more details about changing your retirement contributions, view the table below and the Contribution Limits web page.
2025 IRS Retirement Plan Contribution Limits
| Plan | Limit | Limit with Age 50 or Older Catch Up | Limit with Age 60-63 Catch Up |
|---|---|---|---|
| 403(b) SRA* | $23,500 | $31,000 | $34,750 |
| 457(b) | $23,500 | $31,000 | $34,750 |
| Total | $47,000 | $62,000 | $69,500 |
* Limit includes the 5% contribution you make (if any) to the 403(b) Basic Retirement Plan.
