401(k) Contribution Calculator 2026: Limits, Match & Savings

Q: What is the 2026 401(k) contribution limit?

For 2026, the IRS employee elective deferral limit is $24,500 for 401(k), 403(b), most 457 plans, and the federal Thrift Savings Plan. Employees age 50+ can add an $8,000 catch-up, and those ages 60-63 can use a higher $11,250 catch-up.

Q: What is an employer match?

An employer match is money your employer contributes to your 401(k) based on what you contribute, up to a set percentage of your salary. A common structure is a 50% match on up to 6% of pay. Always contribute at least enough to capture the full match.

Q: Should I contribute to a traditional or Roth 401(k)?

Traditional contributions lower taxable income now and are taxed on withdrawal; Roth contributions are after-tax now and tax-free on withdrawal. The right choice depends on whether you expect to be in a higher or lower tax bracket in retirement.

Q: What happens if I exceed the limit?

Excess contributions may be distributed back to you and could create tax complications. Many payroll systems cap contributions automatically, but it is your responsibility to monitor total deferrals across all employers in a year.

Published: June 10, 2026 · Updated: June 16, 2026 · Maintained by: WealthScope Hub Editorial Team

2026 limits used by this calculator

This calculator uses the IRS 2026 elective deferral limit of $24,500 for 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan. It also uses the 2026 catch-up limits of $8,000 for age 50+ and $11,250 for ages 60 through 63.

The formula

your contribution = annual salary × contribution rate, capped at the applicable 2026 employee deferral limit (including catch-up if age-eligible).

employer match = salary × the smaller of (your rate, plan's match cap) × employer match rate

Worked example

On an $85,000 salary at 10% contributions, you'd defer $8,500 a year — well under the $24,500 limit. With a 50% match on up to 6% of salary, the employer contributes $85,000 × 6% × 50% = $2,550. Total annual savings: $11,050, or about 13% of salary. Raise your rate to 15% and you defer $12,750 yourself while the match stays at $2,550 — the limit still has $11,750 of headroom.

The employer match is free money — capture it

If your employer offers a match, aim to contribute at least enough to earn the full amount. A 50% match on 6% of pay is effectively an immediate 50% return on that slice of your contribution — no investment can reliably match that. Failing to capture the full match is leaving part of your compensation on the table.

Traditional vs. Roth 401(k) — quick orientation

Both count against the same $24,500 limit. The difference is timing:

Traditional: contributions lower taxable income now; withdrawals in retirement are taxed as ordinary income. Often better if you expect a lower tax bracket later.
Roth: contributions are after-tax now; qualified withdrawals are tax-free. Often better if you expect a higher bracket later or want tax-free retirement income.

This calculator does not model tax treatment; it only totals contributions and match.

Related tools & guides

Full breakdown of numbers: 2026 401(k) contribution limits in plain English.
Another retirement account choice: Roth vs Traditional IRA Calculator.

Frequently asked questions

What is the 2026 401(k) contribution limit?

$24,500 for employee elective deferrals, with an $8,000 catch-up at 50+ and $11,250 at ages 60-63.

What is an employer match?

Employer money contributed based on your contribution, up to a set salary percentage. Always contribute enough to capture the full match.

Should I contribute to a traditional or Roth 401(k)?

Traditional lowers tax now and is taxed on withdrawal; Roth is after-tax now and tax-free on withdrawal. Choose based on expected future tax bracket.

What happens if I exceed the limit?

Excess may be returned and create tax complications. Monitor total deferrals across all employers in a year.

Important note

Actual plan rules can differ. This tool does not model Roth vs. traditional tax treatment, vesting, pay-period timing, true-up contributions, highly compensated employee testing, payroll rounding, or every combined plan limit scenario. Always verify current limits and plan rules before payroll decisions. This page is educational only and not financial, investment, tax, legal, accounting, or retirement advice. See our disclaimer. Limits source: IRS 2026 announcement.