Q:

Is there a way around the 401k contribution limit?

A:

Quick Answer

Internal Revenue Service limits on 401k contributions change each year, but the IRS amount is a legal limit that cannot be breached, according to About Money. However, IRAs and brokerage accounts can be used to save for retirement whether someone reaches the limit or not, according to The Motley Fool.

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Is there a way around the 401k contribution limit?
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Full Answer

The IRS 401k contribution limit is $18,000 as of 2015, reports About Money. However, employees 50 or older are able to contribute up to $6,000 more as a "catch-up contribution." This addition makes for a total contribution up to $24,000. Employer-matching contributions are limited to 25 percent of an employed person's income.

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