@m535is wrote:
Does this still apply in 2023 and 2024?
None of these laws have changed. Spouse #1 can contribute up to $5000 through their employer (if offered); spouse #2 can contribute up to $5000 through their employer (if offered). Spouses who are considered "highly compensated" by the IRS or who own 2% or more of the business may have reduced compensation limits.
If married filing jointly, the maximum combined exclusion is $5000. Any excluded amount over this will be added back to taxable income, although there is no additional penalty. If the spouses file married filing separately, each spouse can only exclude up to $2500, and only if they claim at least one child as a dependent. Any excess exclusions will be added back to taxable income.
