What are catch-up contributions?

If you are 50 or older, or you will reach age 50 by the end of the year, you may be able to make contributions to your IRA or employer-sponsored retirement plan above the normal contribution limit. Catch-up contributions are designed to help you make up any retirement savings shortfall by bumping up the amount you can save in the years leading up to retirement. Catch-up contributions can be made to traditional and Roth IRAs, as well as to 401(k) plans and certain other employer-sponsored retirement plans. But if you participate in an employer-sponsored retirement plan, check plan rules — not all plans allow catch-up contributions.

How much can you contribute as a catch-up contribution? It depends on the type of retirement plan you have and the tax year for which you are making the contribution.

401(k), 403(b), governmental 457(b) plans:*

$24,500 regular annual contribution limit; for those age 50 to 59 and 64 and older, the catch-up contribution limit is $8,000 in 2026; for those who reach age 60 to 63 in 2026, the catch-up contribution is $11,250

SIMPLE plans (more than 25 employees):

$17,000 regular annual contribution limit; for those age 50 to 59 and 64 and older, the catch-up contribution limit is $4,000 in 2026; for those who reach age 60 to 63 in 2026, the catch-up contribution is $5,250

SIMPLE plans (25 or fewer employees):

$18,100 regular annual contribution limit; for those age 50 to 59 and 64 and older, the catch-up contribution limit is $3,850 in 2026; for those who reach age 60 to 63 in 2026, the catch-up contribution is $5,250

Plans with more than 25 employees may elect these higher limits, provided they follow certain rules requiring higher matching and nonelective contributions

Traditional and Roth IRAs:

$7,500 regular annual contribution limit and $1,100 catch-up contribution limit for those age 50 and older in 2026

*403(b) and 457(b) plans also have special catch-up rules that may apply.

This content has been reviewed by FINRA.