IRS raises 401(k) contribution limits, adds super catchup for 6063 year olds in 2025
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2025 401k Catch Up Contribution Limit Over 60. 401k Contribution Limits 2025 Over 50 Michelle T. Miller Starting in 2025, individuals aged 60 to 63 can contribute even more than the standard catch-up limit Here's how it works: Standard Contribution Limit (2025): $23,500; Normal Catch-Up Contribution.
CatchUp 401(k) Contribution Limits Mercer Advisors from www.merceradvisors.com
Good news for 401(k) and 403(b) plan participants turning age 60 - 63 starting in 2025: there is now an enhanced employee catch-up contribution thanks to Secure Act 2.0 that passed back in 2022. For 2025, the employee contributions limits are as follows: Employee Deferral Limit $23,500, Ag So, that's a maximum of: o $77,500 including catch-up contributions for those over 50 years old
In 2025, workers under 50 can contribute up to $23,500 to a 401(k), whereas with an IRA, the limit is only $7,000 That number includes a $23,500 contribution limit and a catch-up contribution of $11,250. The catch-up contribution limit that generally applies for employees aged 50 and over who participate in most 401(k), 403(b), governmental 457 plans, and the federal government's Thrift Savings Plan remains $7,500 for 2025
IRS Announces Higher 401k Limits And New CatchUp For 2025. Starting in 2025, employees aged 60 to 63 years old who participate in one of those work plans have a higher catch-up contribution limit In 2025, the total limit for 401(k) contributions for those aged 60 to 63 is $34,750
2025 401k Contribution Limits Irs Lola Becher. Key details include: Age Range: The enhanced limit applies from the year an individual turns 60 until the year they turn 64. In 2025, workers under 50 can contribute up to $23,500 to a 401(k), whereas with an IRA, the limit is only $7,000