2026 employee deferral limit
For 2026, the IRS employee deferral limit for 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan is $24,500. This is the most you can contribute from your own paycheck across all of these plans combined in a single year.
Catch-up contributions by age
If you are age 50 or older, you can add a catch-up on top of the standard limit. The 2026 catch-up amounts depend on your age during the year:
- Under 50: $24,500 limit, no catch-up.
- Age 50-59 or 64+: $24,500 + $8,000 catch-up = $32,500 total.
- Age 60-63: $24,500 + $11,250 enhanced catch-up = $35,750 total. This higher catch-up reflects the SECURE 2.0 "super catch-up" for those nearing retirement.
Employer match is separate
Employer matching contributions are not counted against your personal $24,500 employee deferral limit — they sit on top. But there's a separate, much higher overall limit (the IRS "annual addition" / 415(c) limit) that covers employee + employer combined, and individual plan rules may impose their own caps. The practical takeaway: capture the full employer match whenever you can — it's part of your compensation.
How to think about your contribution rate
- At minimum: contribute enough to get the full employer match. Not doing so leaves free money on the table.
- Next goal: work toward 10-15% of gross income (including the match) as a common retirement-savings benchmark.
- If you're behind: the age 50+ catch-up is designed exactly for catching up — use it if you can.
- If you're a high earner: watch out for hitting the $24,500 cap early in the year, which can reduce or forfeit match if your plan uses per-paycheck matching.
Traditional vs. Roth 401(k)
Both traditional and Roth 401(k) contributions draw from the same $24,500 limit. The difference is tax timing: traditional lowers taxable income now and is taxed on withdrawal; Roth is after-tax now and tax-free on qualified withdrawal. Your plan may offer one or both.
Verify before you act
IRS limits and plan rules change. Before changing payroll elections, confirm the current figures with the IRS or your plan administrator, and check your plan's specific match formula, vesting schedule, and any true-up provisions. Source for these 2026 figures: IRS 401(k) limit announcement for 2026.
Use the calculator
Estimate your contribution, catch-up, and employer match: 401(k) Contribution Calculator. Comparing account types? See the Roth vs Traditional IRA Calculator.
This guide is educational only and is not financial, investment, tax, legal, accounting, or retirement advice. Verify limits and plan rules before changing payroll elections. See our disclaimer.