UPMC Savings Plan limits remain the same for 2010

The UPMC Savings Plan is one of the best opportunities available to save for your future. It is important to review your retirement planning periodically. Evaluating your financial goals and taking full advantage of the various savings opportunities UPMC provides is critical in meeting your long-term goals. 

In planning for 2010, be aware that the Internal Revenue Service has not made any changes to pretax contributions, so the amounts you can contribute to the UPMC Savings Plan remain as follows:

• For eligible staff under the age of 50, the IRS will be keeping the same maximum pretax contribution of $16,500.
• For eligible staff who will be age 50 or older in 2010, the maximum pretax contribution allows for a $5,500 “catch-up” contribution, which can be made every year. Eligible staff members in this category have the opportunity to increase their maximum pretax contribution to $22,000.

If you reach the pretax limit before the end of the calendar year, your deduction will automatically be taken on an after-tax basis for the remainder of that year. On Jan. 1 of the following year, your contribution will automatically revert back to a pretax basis. You can make changes to adjust your contributions at any point in the year.

Even if you did not contribute up to the full 2009 pretax limits, now is a great time to check your savings rate and see if you can save more in 2010. Log in to My HUB, click on the Human Resources tab, then click on My Retirement under My Benefits. This link will take you directly to your retirement information on the Your Benefits Resources™ website.