IRS Announces 401(k) Limit Changes for 2026

November 13, 2025

Highlights of changes for 2026

The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan increases $1,000 up to $24,500.

The catch-up contribution limit for employees aged 50 and over who participate in these plans increased $500 to $8,000 (as such, someone age 50+ can contribution up to $32,500 in 2026).  Under a change made in SECURE 2.0, a higher catch-up contribution limit applies for employees aged 60, 61, 62 and 63 who participate in these plans. For 2026, this higher catch-up contribution limit remained unchanged at $11,250 (as such, someone age 60-63 as of 12/31/2026 can contribute up to $35,750 in 2026).

This IRS notice also retroactively changed the Roth Catch-Up threshold from $145,000 to $150,000 -- as such, employees with $150,000 in FICA wages in 2025 will be a "Highly Paid Individual" for 2026 requiring their 2026 catch-up contributions to be made on a Roth basis

For a full listing of the IRS limits, click here.

Click here for more information (link to IRS website) »