Contribution Limit
The maximum the IRS lets you put into a tax-advantaged account each year.
Contribution limits are the annual caps the IRS sets on how much you can add to tax-advantaged accounts like 401(k)s, IRAs, and HSAs. They're adjusted for inflation periodically, differ by account type, and usually include a higher 'catch-up' limit for people 50 and older.
Because the tax advantages are valuable and the limits are use-it-or-lose-it each year, maxing the most beneficial accounts is a core wealth-building habit. The specific dollar figures change, so confirm the current year's limits rather than relying on a number you remember.
This definition is general information to help you understand a term, not financial, tax, or legal advice. Figures that change year to year (limits, thresholds, rates) should be confirmed against current official sources. For guidance on your situation, a licensed fee-only fiduciary is the right next step.