The limits are linked to the headline Consumer Price Index, or CPI-U, and September's reading saw an 8.2% year-over-year increase. 

The boost to the 401(k) maximum is the biggest one ever in both dollar and percentage terms, as retirement investors will be able to contribute $2,000 more in 2023 than they can this year. The limit on so-called "catch-up contributions"-- available to those age 50 and over -- is rising by $1,000, to $7,500. 

That puts 2023's annual 401(k) limit at $22,500 for workers under 50, and $30,000 for those 50 and older. The same new maximums apply to participants in 403(b) and most 457 plans, as well as the Thrift Savings Plan for federal government employees.  

IRA investors will be able to put away an extra $500 in 2023, as the limit rises to $6,500. Unlike most other contribution amounts, the IRA "catch-up" for the 50+ crowd isn't indexed to inflation and will remain at $1,000. 

The income ranges that drive eligibility for deductible contributions to Traditional IRAs and contributions to Roth IRAs are also rising. See the IRS announcement for those and other details. 

Of course, higher limits are only useful to the extent Americans can actually find the extra money to put away -- at the same time when rising prices for gasoline, energy and food are hammering their cash flow.