Not sure how much you can save into retirement this year?

If you’re just now reviewing your plan, both employer retirement plan and IRA contribution limits have gone up—and there’s one key change high earners need to know.

401(k), 403(b), 457, and TSP Plans
🔹 Elective deferral limit: Up to $24,500
🔹 Catch-up contributions:
Age 50–59: Add $8,000
Age 60–63: Add $11,250
Age 64+: Back to $8,000

📌 Starting in 2026:
If you earned $150,000+ in 2025, your catch-up contributions will need to go into a Roth (after-tax) account.
• Applies to most 401(k), 403(b), and similar plans
• Some exceptions exist for 457 and TSP plans (more on that in next week’s post)
• This change only applies to catch-ups—your regular contributions are still up to you (pre-tax or Roth)

IRA (Traditional or Roth)
🔹 Contribution limit: Now $7,500
🔹 Catch-up (50+): Add $1,100

What to do now:
• Check your payroll settings or ask HR if your contribution is up to date
• If you’re self-employed, consider automating a monthly draft into a retirement account
• If you get a bonus this year, set aside a percentage for long-term savings

These updates can be easy to overlook, but a few small steps now can help you stay on track all year.