The Brief

The Internal Revenue Service has announced new 401K and individual retirement account contribution limits that take effect next year.

In 2026, the amount individuals can contribute to their 401K will increase to $24,500, up from 23,500 this year, according to an IRS release on Thursday .

The agency also issued guidance for all cost‑of‑living adjustments impacting dollar limitations for pension plans and other retirement-related items for 2026.

401K and IRA contribution limits for 2026

Why you should care:

The annual contribution limit for workers who participate in 401(k), 403(b), governmental 457 plans, and the federal government’s Thrift Savings Plan is increased to $24,500, up from $23,500 for 2025.

For employees 50 years old and older who participate in most 401(

See Full Page