How Much Can I Save For Retirement Per Year? 
There are ways to save your entire income for retirement if you desire . There are tax qualified plans that defer the taxation on a retirement program and they have annual contribution limits . If you are choosing to save for retirement using 401 -LRB- k -RRB- elective deferral , if you are eligible for a 403 -LRB- b -RRB- or a 457 Deferred Compensation plan , you could reduce your taxable income by up to $ 18,000 in 2015 . If you are over age 50 you can increase those limits by $ 6,000 . You can make contributions to a simple IRA and reduce your taxable income by $ 12,500 and add on an additional $ 6,000 if you are over age 50 . You can establish a defined benefit pension plan and reduce your income by $ 210,000 in 2015 . If you use a defined contribution plan you can reduce your taxable income by up to $ 53,000 . There are a variety of other limits depending upon whether you have highly compensated employees or key employees . The other most important limitation is on the ability of a person to participate in a Roth IRA . The maximum income you can have for a single tax payer is $ 131,000 to participate in a Roth IRA . If you are married the maximum income limit is $ 193,000 . Notice I didnt say anything about reducing taxable income . The Roth IRA is funded with after-tax income ; however , qualified withdrawals can be received income tax free . 