Retirement and Social Security
Definition
Extra retirement savings allowed for people 50 and older above the normal limits; for 2026 it is $8,000 in a 401(k) and $1,100 in an IRA.
What it means
Catch-up contributions let older workers save more in tax-advantaged accounts. For 2026, people aged 50 and over can add $8,000 to a 401(k), 403(b) or governmental 457 plan on top of the $24,500 limit. Under the SECURE 2.0 Act, people who are 60, 61, 62 or 63 at the end of the year can make a higher catch-up of $11,250 if their plan allows it. The IRA catch-up for age 50 and older is $1,100 for 2026, making the IRA limit $8,600. Starting in 2026, workers whose prior-year FICA wages from the employer exceeded a set threshold must make their 401(k)-type catch-up contributions as Roth contributions. HSAs have a separate $1,000 catch-up starting at age 55.
Example
A 61-year-old can put up to $24,500 + $11,250 = $35,750 into a 401(k) in 2026, plus $8,600 into an IRA, if the plan allows the higher catch-up and income permits.
Illustrative numbers only. Your situation will differ.