Official websites use .gov
A
.gov website belongs to an official government
organization in the United States.
Secure .gov websites use HTTPS
A
lock (
) or https:// means you’ve safely connected to
the .gov website. Share sensitive information only on official,
secure websites.
N/A
TC.150
Under the baseline tax system, all compensation, including deferred and dedicated payments, should be included in taxable income. In addition, investment income would be taxed as earned. In contrast, under current law individual taxpayers and employers can make tax-preferred contributions to employer-provided 401(k) and similar plans (e.g. 403(b) plans and the Federal Government’s Thrift Savings Plan). In 2024, an employee could exclude up to $23,000 of wages from AGI under a qualified arrangement with an employer’s 401(k) plan. Employees age 50 or over could exclude up to $30,500 in contributions. The defined contribution plan limit, including both employee and employer contributions, is $69,000 in 2024. The tax on contributions made by both employees and employers and the investment income earned by these plans is deferred until withdrawn.
This chart shows obligations for the program by fiscal year. All data for this chart was provided by the
administering agency and sourced from SAM.gov, USASpending.gov, and Treasury.gov.
For more information on each of these data sources, please see the
About the data page.
OMB is working with the U.S. Government Accountability Office (GAO) and agency offices of inspectors general to include links to relevant oversight reports. This section will be updated once this information is made available.
