For tax year 2025 (returns you'll file in 2026), you can defer up to $23,500 into your workplace 401(k) account, a modest uptick from $23,000 in 2024. The increase applies to 401(k)s, 403(b)s, the federal Thrift Savings Plan and the majority of 457 plans.
The limit on annual IRA contributions remains $7,000.
- Read more: 401(k) and IRA contribution limits for 2026
To keep up with inflation, the IRS sets annual caps on contributions to both workplace and individual retirement plans. Because they're made with pre-tax dollars, contributions to 401(k) accounts and traditional IRAs lower your taxable income.
For most workers, the deadline to make changes to 401(k) contributions is Dec. 31, 2025. The deadline for contributing to a traditional or Roth IRA for tax year 2025 is April 15, 2026.
December 31, 2025, is also the deadline for Roth IRA conversions and making contributions to SEP/SIMPLE IRAs count for the year.
401(k) contribution limits for 2025
Workers who contribute to a 401(k), 403(b), most 457 plans or the federal government's Thrift Savings Plan can contribute up to $23,500 in 2025. Spread evenly throughout the year, that's about $1,958 a month, or $980 per twice-monthly paycheck.
Employees 50 and older can take additional catch-up contributions of up to $7,500. For those workers, the total 401(k) contribution cap would be $31,000.
Under the SECURE 2.0 Act, workers age 60 to 63 can take advantage of a super-sized 401(k) catch-up limit of $11,250. That would bring their total 401(k) contribution cap to $34,750.
These limits don't include matching funds from your employer. For 2025, the limit on combined employee and employer contributions is $70,000.
Some 401(k) plans allow employees to make after-tax contributions to reach the combined employee and employer contribution limit.
For example, if you maxed out 401(k) contributions in 2025 and your employer matched, that would only bring you to $47,000. If your plan allows, you could make additional after-tax contributions of up to $23,000 to meet the combined employee/employer limit of $70,000 for the year.
Unless rolled over to an IRA, the earnings on these after-tax contributions are tax-deferred, so tax is due when you withdraw.
IRA contribution limits for 2025
The limit for both traditional and Roth IRAs is $7,000 total across all accounts. That breaks down to roughly $583 a month, or $292 per twice-monthly pay period.
Individuals 50 or older can make an additional $1,000 catch-up contribution, bringing their total IRA contribution limit to $8,000.
The income thresholds for a Roth IRA are higher in 2025: For single and head-of-household taxpayers, the income phase-out range is $150,000 to $165,000, up from $146,000 to $161,000 in 2024.
Married couples filing jointly have a higher income phase-out range, too, between $236,000 and $246,000, up from between $230,000 and $240,000.
For married couples filing separately, the income phase-out range remains between $0 and $10,000.
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Catch-up contributions for 2025
To help Americans who are behind in their retirement savings, the IRS instituted catch-up contributions for employees 50 or older — a bonus amount these workers can put away. In 2025, the catch-up contribution stayed at $7,500, the same as it was in 2024 and 2023.
Starting in 2025, employees aged 60 to 63 have a special "supersized" catch-up contribution limit of $11,250.
The catch-up contribution for employees 50 and older who contribute to a SIMPLE IRA remains $3,500.
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Contribution limits for 2026
For the 2026 tax year, employees can contribute up to $24,500 to a 401(k) and $7,500 to a traditional or Roth IRA.
Many employers will match a percentage of their workers' 401(k) contributions. In 2026, the combined limit for employee and employer contributions is $72,000.
Catch-up contributions enable older workers to make up for years when they weren't able to save as much. If you're age 50 or older, you can contribute an extra $8,000 to your 401(k), an extra $1,100 to a Roth or traditional IRA and an additional $4,000 to a SIMPLE IRA.
Workers age 60 to 63 with eligible plans can take advantage of a super-sized 401(k) catch-up limit of $11,250.
Retirement plan contribution limits
| 2025 | 2026 | |
|---|---|---|
| 401(k) contribution limit | $23,500 | $24,500 |
| Employee and employer contribution limit | $70,000 | $72,000 |
| 50+ catch-up contribution | $7,500 | $8,000 |
| 60-63 super-sized catch-contribution | $11,250 | $11,250 |
| Traditional and Roth IRA limit | $7,000 | $7,500 |
| IRA catch-up contribution limit | $1,000 | $1,100 |
Should I have a 401(k) or an IRA?
Because 401(k) plans have higher limits than IRAs, it's a good idea to enroll in a 401(k) if your employer offers one — especially if they match contributions. You'll defer paying taxes until you withdraw funds in retirement, letting your money grow tax-deferred.
You also should consider adding a Roth IRA. Contributions are typically made with after-tax money, so your withdrawals later are tax-free. The different tax advantages available to 401(k)s and Roth IRAs can help keep your retirement portfolio diversified.
Even if you don't have access to a 401(k), a Roth IRA is still a smart choice — especially if you expect to be in a higher tax bracket when you retire. We like the Roth IRA options at Fidelity because savers can choose to have the brokerage pick and manage their investments or do it themselves.
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Retirement account FAQs
How much can I contribute to my 401(k) in 2025?
The standard 401(k) contribution limit for 2025 is $23,500. If you're over 50, you can add another $7,500 in catch-up contributions, bringing your total to $31,000. For workers 60 to 63, there is a super-sized catch-up limit of $11,250 for eligible plans, bringing the total to $34,750.
What is the contribution limit for Roth IRAs?
The limit for both traditional and Roth IRAs is $7,000 from among all your accounts. That breaks down to a little less than $300 a paycheck. Workers 50 or older can make an additional catch-up contribution of $1,000, bringing their total Roth IRA limit to $8,000.
How does a 401(k) match work?
If your workplace has 401(k) matching, your employer contributes toward your plan up to a certain percentage: You might put 10% of your paycheck into your 401(k), for example, but your company only matches the first 5%.
Employer contributions can be a dollar-to-dollar or a partial match — say, 50 cents for every dollar you set aside — or a combination of the two. A company that offers to match 5% often may offer a full match up to 3% of your salary, then a partial match of 50 cents for every dollar on the next 2%.
How are 401(k) and IRA contribution limits decided?
The IRS typically announces the limit for the following year in late October or early November.
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