Story perspectives

401(k) Limits Rise in 2026: More Savings for Workers

12/8/2025

27 6

Summary

Story summary

In 2026, the employee deferral limit for 401(k) plans rises to $24,500, up from $23,500 in 2025.
The catch-up contribution for workers aged 50 and older increases to $8,000.
The annual additions limit grows from $70,000 to $72,000, allowing greater total contributions.
The annual compensation limit used to calculate employer matches rises from $350,000 to $360,000.
The changes aim to help high earners and older workers save effectively for retirement.

1 of 1

Story summary

In 2026, the employee deferral limit for 401(k) plans rises to $24,500, up from $23,500 in 2025.
The catch-up contribution for workers aged 50 and older increases to $8,000.
The annual additions limit grows from $70,000 to $72,000, allowing greater total contributions.
The annual compensation limit used to calculate employer matches rises from $350,000 to $360,000.
The changes aim to help high earners and older workers save effectively for retirement.