Federal Tax Savers Credit

The Saver's Tax Credit is available to UT System employees who:

  • Make Tax-deferred contributions to an employer-sponsored retirement plan;
  • Are 18 years or older;
  • Are not full-time students;*
  • Are not claimed as a dependant on another person's tax return; and
  • Meet the income limits described below.

*See the instructions for Form 8880, Credit for Qualified Retirement Savings Contributions, for the applicable definition of a full-time student. 

The amount of the credit is 50%, 20%, or 10% of your retirement plan contributions up to $2,000 ($4,000 if married filing jointly). The maximum credit $1,000 ($2,000 if married filing jointly). Use the chart below to calculate your credit.

Example: Jill, who works at a retail store, is married and earned $41,000 in 2021. Jill’s spouse was unemployed in 2021 and didn’t have any earnings. Jill contributed $2,000 to her UTSaver TSA for 2022. After deducting her TSA contribution, the adjusted gross income shown on her joint return is $39,000. Jill may claim a 50% credit of $1,000 for her $2,000 TSA contribution on her 2022 tax return.

Income Limits for Saver's Tax Credit Eligibility

  2023 SAVERS CREDIT
  Adjusted Gross Income (AGI) Range by Filing Status
Credit Percentage Married,
Filing a Joint Return		 Head of Household All Other Filers
50% of your contribution $43,500 or less $32,625 or less $21,750 or less
20% of your contribution $43,501 to $47,500 $32,626 to $35,625 $21,751 to $23,750
10% of your contribution $47,501 to $73,000 $35,626 to $54,750 $23,751 to $36,500
0% of your contribution more than $73,000 more than $54,750 more than $36,750

 

  2022 SAVERS CREDIT
  Adjusted Gross Income (AGI) Range by Filing Status
Credit Percentage Married,
Filing a Joint Return		 Head of Household All Other Filers
50% of your contribution $40,000 or less $30,750 or less $20,500 or less
20% of your contribution $41,001 to $44,000 $30,751 to $33,000 $20,501 to $22,000
10% of your contribution $44,001 to $68,000 $33,001 to $51,000 $22,001 to $34,000
0% of your contribution more than $68,000 more than $51,000 more than $34,000