401K limit applies if I changed jobs during the calendar year?

Question

I have recently changed jobs and would like to know if the annual limit still applies to my 401K.

For example, year to date I've contributed $10K to my previous employer's 401K plan. Does this mea my 401K contribution for the year with the new employer should be less than 5.5K?

Thanks!

Answer 1

yes, you won't be able to deduct more than 15,500 off your tax return.  The $15,5000 limit is a personal limit.  If you were to try 1) your return would be rejected and 2) you would be penalized for not having the money refunded by April 15.

Tell your new employer what amount to limit you to based upon your YTD deferrals on your final check ast your previous employer.

Answer 2

Yes, and you will have to keep an eye on it as your new employer will not know what you have done during the year at your previous job.