New tax plan proposes major changes to 401(k)

The rules for investing money into a 401(k) could change, as Congress looks to retirement savings as a way to pay for tax cuts.

One of the major proposed changes to 401(k) contributions, according to Online Trading Academy CEO Ken Beckrich, is the maximum limit investors can contribute with pre-tax dollars. Currently, the maximum contributions are $18,000 for Americans under 50, and $24,000 for those 50 and older. The cut would drastically reduce a tax deduction utilized by millions.