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What are catch-up contributions?

Answer

Catch-up contributions let people aged 50 and older contribute extra money to retirement accounts beyond the standard annual limits. For 2025, the catch-up for 401(k) and 403(b) plans is $7,500, with a special higher catch-up of $11,250 for ages 60–63 introduced by the SECURE 2.0 Act.

By AnswerQA Editorial Team Verified April 28, 2026

Catch-up contributions are additional amounts that people aged 50 and older can contribute to tax-advantaged retirement accounts, on top of the standard annual limits. They were created to help people who started saving late — or whose contributions were disrupted by family expenses, career changes, or other factors — accelerate their retirement savings in the years before retirement.

The IRS adjusts catch-up limits periodically for inflation (IRS.gov/retirement-plans/plan-participant-employee/retirement-topics-catch-up-contributions).

Limits by account type

Account2025 standard limitCatch-up (age 50+)Total for 50+
401(k), 403(b), most 457(b)$23,500$7,500$31,000
IRA (traditional or Roth)$7,000$1,000$8,000
SIMPLE IRA$16,500$3,500$20,000
HSA (self-only)$4,300$1,000$5,300

The IRA catch-up was $1,000 for 2025. SECURE 2.0 made the IRA catch-up inflation-indexed starting in 2024 — for 2026, the IRA catch-up increases to $1,100, and the base IRA limit increases to $7,500 (up from $7,000). HSA catch-ups remain at $1,000 per year (IRC Section 223(b)(3)).

SECURE 2.0: the special catch-up for ages 60–63

The SECURE 2.0 Act (enacted December 2022, effective January 2025) created a higher catch-up contribution for the age 60–63 window in 401(k), 403(b), and similar plans:

AgeCatch-up limit (2025)
50–59$7,500
60–63$11,250 (the greater of $10,000 or 150% of the regular catch-up limit)
64 and older$7,500 (reverts to standard catch-up)

This is a significant increase. A 62-year-old can contribute $23,500 + $11,250 = $34,750 to their 401(k) in 2025. The 60–63 window was deliberately designed to give participants a final accumulation push right before the typical early retirement age.

SECURE 2.0: Roth requirement for high earners

Starting in 2026, SECURE 2.0 requires that catch-up contributions by employees who earned more than $150,000 in 2025 (the $145,000 original threshold, indexed for inflation) must be made as Roth contributions rather than traditional pre-tax. This applies to 401(k), 403(b), and governmental 457(b) plans.

If your plan doesn’t offer a Roth option, SECURE 2.0 requires the plan to add one if it wants to allow high-earning employees to make catch-up contributions. This rule was originally set for 2024 but delayed to 2026 by IRS Notice 2023-75.

Who benefits most from catch-ups

Catch-up contributions are most valuable if:

  • You’re in a high tax bracket (pre-tax catch-ups reduce taxable income)
  • You expect lower income in retirement (traditional catch-ups defer tax to a lower bracket)
  • You’re making up for years you couldn’t contribute (career break, business ownership without a plan)
  • You want to build a larger buffer in the final working years

The SECURE 2.0 special catch-up for 60–63 is specifically designed for people who can maximize savings in the 4–5 years before they anticipate retiring or reducing income.

Practical mechanics

Catch-up contributions work like regular contributions — you direct them through your employer’s payroll system for workplace plans, or contribute directly to your IRA. There’s no separate enrollment for catch-ups in most plans; once you turn 50 (or 60), the higher limit automatically applies.

For IRA contributions, the deadline is the tax filing deadline (typically April 15 of the following year), giving you the ability to make prior-year IRA catch-up contributions up until filing.

2026 limits

Account2026 standard limitCatch-up (50+)Special catch-up (60–63)
401(k), 403(b), 457(b)$24,500$8,000$11,250
IRA$7,500$1,100
SIMPLE IRA$17,000$3,500

The 2026 limits reflect IRS inflation adjustments. The $11,250 special catch-up for ages 60–63 is unchanged from 2025 — it is adjusted separately and the IRS held it flat for 2026.

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