What is the maximum salary deferral limit for employees in a 403(b) plan for 2018?

The maximum salary deferral limit for employees participating in a 403(b) plan for the year 2018 was set at $18,500. This limit allows employees to contribute a portion of their pre-tax salary to their retirement savings plan, reducing their taxable income for the year.

The limit for 2018 reflects a slight increase over previous years, aligning with the IRS's periodic adjustments for inflation. It's important to note that there are also catch-up contribution options available for employees aged 50 and older, which allow them to contribute an additional $6,000, raising the total contribution limit for those individuals. However, the standard limit for new contributions in that year remained at $18,500.

This understanding of contribution limits is crucial for both employees looking to plan their retirement savings and employers administering 403(b) plans to ensure compliance with IRS regulations.