Under the new IRS tax rules for 2026, the limits for retirement plan contributions have increased to help taxpayers save more toward retirement. For workplace plans such as 401(k), 403(b), and most 457(b) plans, the annual elective deferral limit has been raised to $24,500, up from $23,500 in 2025, and individuals aged 50 and over can contribute an additional $8,000 catch-up, bringing their total potential contribution to $32,500; participants ages 60–63 may use a higher “super” catch-up limit of $11,250 if eligible under SECURE 2.0 rules. Traditional and Roth IRA contribution limits have also increased to $7,500 for 2026, with a $1,100 catch-up contribution allowed for those ages 50 and older. In addition to the higher dollar limits, the income phase-out ranges for deducting traditional IRA contributions and for making Roth IRA contributions have been adjusted upward for 2026, along with increased limits for SIMPLE plans and the Saver’s Credit. These changes take effect January 1, 2026, and reflect cost-of-living adjustments that help savers maintain and grow their retirement funds.
