Contribution Limit
Also called: annual contribution limit, 402(g) limit, annual allowance
A contribution limit is the annual maximum you can put into a tax-advantaged account, set by statute and usually indexed to inflation. The limits stack in specific ways that are easy to get wrong: the employee deferral limit applies across all 401(k)s you hold in a year, while a separate, much higher total limit covers employer contributions and after-tax money. Exceeding a limit triggers penalties until it's corrected.