22 Oct 2026 401(k) Catch-Up Rules: What Ages 50+ Need to Know Before Year End
As 2026 comes to a close, many Americans are reviewing their finances and preparing for the year ahead. If you’re 50 or older, there’s an important retirement savings opportunity you don’t want to overlook: 401(k) catch-up contributions.
At KPC Financial Solutions, we believe it’s never too late to make meaningful progress toward your retirement goals. And thanks to updated contribution limits, 2026 offers additional opportunities to save.
How Much Can You Contribute in 2026?
The IRS increased the standard 401(k) employee contribution limit to $24,500 for 2026.
But if you’re 50 or older, you may be eligible to contribute even more! Here’s how the limits break down:
- Under Age 50: Up to $24,500.
- Ages 50–59: An additional $8,000, totaling $32,500.
- Ages 60–63: A special catch-up contribution of $11,250, totaling $35,750.
- Age 64+: An additional $8,000, totaling $32,500.
These limits apply to most traditional 401(k) plans, assuming your employer’s plan allows catch-up contributions.
A New Roth Catch-Up Rule for 2026
There’s another important change this year! Under the SECURE 2.0 Act, individuals whose 2025 wages exceeded $150,000 from their current employer generally must make their 2026 catch-up contributions on a Roth, after-tax basis.
This means those contributions won’t reduce your current taxable income, but qualified Roth withdrawals in retirement can be tax-free. Understanding how this change fits into your overall tax strategy is especially important.
Don’t Miss the December 31 Deadline!
Unlike IRA contributions, which may generally be made until the tax filing deadline, employee 401(k) contributions must generally come through payroll by December 31.
Before year-end, consider reviewing your contributions, checking your employer’s matching opportunities, and determining whether increasing your paycheck deferrals makes sense.
Make Every Year Count Toward Retirement
At KPC Financial Solutions, we understand that retirement isn’t just about reaching a certain age. It’s about having a thoughtful strategy that helps support the lifestyle you’ve worked hard to achieve.
Whether you’re five years from retirement or still building your savings, our team helps coordinate your investments, tax considerations, and long-term financial goals.
Knowledge. Planning. Confidence. That’s the foundation of everything we do.
Ready to make the most of your retirement savings before the year ends?
Schedule a complimentary consultation with KPC Financial Solutions today.