The IRS has announced that investment limits on tax-favored retirement savings plans including the TSP will be unchanged in 2014. The cap on regularinvestments by employees—called the "elective deferral limit"—will stay at $17,500. Meanwhile, the limit on "catch-up contribution" investments—additional investments allowed for those 50 or older in a calendar year—will remain $5,500. The limits apply to the total of traditional pre-tax investments and after-tax Roth investments, for those making both types, but don’t include agency contributions on behalf of FERS-covered employees. The dollar caps are inflation-adjusted but increase only after accumulated inflation since the previous adjustment has exceeded a certain level. Meanwhile, the TSP has reported that all funds posted gains in October, led by the common stock C fund, up 4.6 percent. For the complete monthly returns and year-to-date and last-12-month returns, go to www.fedweek.com.
