Each year, the IRS updates contribution limits for retirement and savings accounts based on cost-of-living adjustments. For 2026, several limits increased, creating additional room for individuals who are actively saving for the future.
Below is a high-level snapshot of key 2026 limits, including applicable catch-up contributions.
IRA Contribution Limits
Under age 50: $7,500
Age 50 or older: $8,600
Includes a $1,100 catch-up contribution
Applies to the combined total of all Traditional and Roth IRAs.
401(k), 403(b), and 457 Plan Limits
Elective deferral limit: $24,500
Age 50 or older: $32,500
Includes an $8,000 catch-up contribution
Ages 60–63 (if permitted by the plan): up to $35,750
Includes a $11,250 enhanced catch-up
SIMPLE IRA Contribution Limits
Under age 50: $17,000
Age 50 or older: $21,000
Includes a $4,000 catch-up
Ages 60–63 (certain plans): up to $22,250
Other Key 2026 Limits
Employer defined contribution plan maximum: $72,000
SEP IRA limit: Lesser of 25% of compensation or $72,000
Defined benefit plan annual benefit limit: $290,000
Annual compensation cap: $360,000
Highly compensated employee (HCE) threshold: $160,000
Key employee threshold: $235,000
Social Security taxable wage base: $184,500
Coverdell ESA contribution limit: $2,000
This information is for educational purposes only. Darling Wealth Management does not provide tax or legal advice. You are encouraged to consult with a qualified tax professional regarding your specific situation.
Disclosure:
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. This information is not intended to be a substitute for individualized tax or legal advice. Please consult a qualified tax or legal advisor regarding your circumstances.