2026 Retirement Plan Limits: Higher Contributions Ahead
The IRS has announced increases to key retirement contribution limits for the 2026 tax year. These changes affect 401(k), IRA, SIMPLE, and other qualified plans. If you’re planning your long-term savings strategy or advising clients, these updates are worth noting.
Here’s a quick look at the updated numbers:
401(k), 403(b), 457 Plans & Thrift Savings Plan
The contribution limit goes up to $24,500 in 2026, up from $23,500 in 2025.
The catch-up contribution limit for people aged 50 and older increases to $8,000, allowing for a total of $32,500 for eligible individuals.
For those aged 60–63, the higher catch-up contribution remains at $11,250.
IRAs
The annual contribution limit rises to $7,500, up from $7,000.
The catch-up contribution for those 50 and older increases to $1,100.
Phase-Out Ranges for Deductible IRA Contributions (2026):
- Single filers with workplace retirement coverage: $81,000–$91,000
- Married couples (joint return), contributor covered: $129,000–$149,000
- Married, contributor not covered but spouse is: $242,000–$252,000
- Married filing separately, contributor covered: No change, still $0–$10,000
Roth IRA Phase-Out Ranges:
- Single/Head of Household: $153,000–$168,000
- Married Filing Jointly: $242,000–$252,000
- Married Filing Separately: Remains $0–$10,000
Saver’s Credit (2026 income limits):
- Married Filing Jointly: up to $80,500
- Head of Household: up to $60,375
- Single/Married Filing Separately: up to $40,250
SIMPLE Retirement Accounts
The standard contribution limit increases to $17,000, with a higher limit of $18,100 for applicable plans.
Catch-up contributions for participants aged 50 and older rise to $4,000, with a different higher tier for certain ages and plan types that remains unchanged at $5,250.
All changes were outlined in IRS Notice 2025-67, available now on IRS.gov.
What This Means for You
With higher contribution limits, you have more flexibility to plan and save. If you’re unsure how these changes apply to you or your business, a conversation with your tax advisor is a smart next step.
