Catch-Up Contribution: How It Works, 2025-2026 Limits, Rules
Starting the year you turn 50, you can increase retirement contributions by an amount set by the IRS.
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A catch-up contribution is money you contribute to a 401(k) or IRA beyond the regular annual limit the IRS sets. The intent is to help save for retirement.
You can make catch-up contributions starting in the year you turn 50.
Workers who are ages 60 to 63 get a higher catch-up contribution limit.
What is a catch-up contribution?
A catch-up contribution is an additional amount of money that certain taxpayers can add to a 401(k), IRA or similar tax-advantaged retirement account. The idea is to help people "catch up" on saving for retirement.
How catch-up contributions work
Federal rules and some employer-sponsored retirement plans set limits on how much you can contribute to a retirement account in a given year. But starting in the year you turn 50, you can increase those contributions.
For example, if you contribute pre-tax earnings to a 401(k), the IRS allows you to sock away up to $23,500 in 2025. People aged 50 and older can contribute an extra $7,500 as a catch-up contribution. Due to the Secure 2.0 Act, those aged 60, 61, 62 and 63 get a higher catch-up contribution of $11,250. In 2026, the contribution limit is $24,500, with a catch-up contribution of $8,000. Those aged 60, 61, 62, and 63 will have the same higher-catch up contribution of $11,250.
As long as you’re eligible, you don’t have to do anything special beyond ratcheting up your contributions. Once your annual contributions exceed the normal limit, they’re treated as catch-up contributions.
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Catch-up contribution limits in 2025 for 401(k)s and IRAs
Catch-up contributions may be allowed in these retirement plans.
Account | Contribution limit in 2025 | Catch-up contribution limit: Ages 50-59, 64+ | Catch-up contribution limit: Ages 60-63 |
|---|---|---|---|
401(k), 403(b), 457(b), profit-sharing plans, etc. | $23,500. | $7,500. | $11,250. |
SIMPLE 401(k) | $16,500. | $3,500. | $5,250. |
IRAs | $7,000. | $1,000. | Not applicable. |
Catch-up contribution limits in 2026 for 401(k)s and IRAs
Catch-up contributions may be allowed in these retirement plans.
Account | Contribution limit in 2026 | Catch-up contribution limit: Ages 50-59, 64+ | Catch-up contribution limit: Ages 60-63 |
|---|---|---|---|
401(k), 403(b), 457(b), profit-sharing plans, etc. | $24,500. | $8,000. | $11,250. |
SIMPLE 401(k) | $17,000. | $4,000 | $5,250. |
IRAs | $7,500. | $1,100. | Not applicable. |
Rules and requirements for catch-up contributions
To be eligible to make catch-up contributions, workers must meet certain criteria.
Age: Anyone age 50 and older by the end of the calendar year can make catch-up contributions to an eligible retirement account. You don’t have to wait until the day you turn 50 to increase your contributions. Starting the first day of the year in which you turn 50, you’re eligible to make catch-up contributions.
But remember: Catch-up contribution limits differ depending on your age. Workers aged 50 to 59 and 64 or older have a lower limit than workers aged 60 to 63.
Retirement plan: Some employer plans impose their own contribution limits. Catch-up contributions may still be permitted in that case (i.e., contributions that exceed the plan’s limit are considered catch-up contributions). As noted in the table above, some retirement plans have different catch-up contribution limits set by the IRS.
Earnings: Starting in 2026, high earners face new rules in the SECURE 2.0 Act of 2022. The law states that anyone earning more than $150,000 has to put any catch-up contributions into a Roth IRA, and those contributions must be on an after-tax basis.
» Self-employed? Learn how a solo 401(k) works
Should you make catch-up contributions?
If you’re nearing retirement and want to boost your savings, making catch-up contributions to max out your retirement accounts could be a smart move. If you’re unsure about how much you need for retirement or how to optimize your retirement savings, it could be a good time to talk to a financial advisor.
