Key Takeaways
\nIn 2026, you can save more for retirement with higher 401(k) and IRA limits, but older workers earning more than $150,000 may need to make catch-up contributions on a Roth basis.When you get a pay raise, consider putting some of it toward your retirement account to grow your savings faster.<\/p>\n
Higher 401(k) limits, new rules for Roth individual retirement accounts (IRAs), and a fresh calendar year: 2026 offers a real chance to get ahead on retirement\u2014if you know where to start.\n<\/p>\n
We spoke with financial planners about the moves worth making right now.\n<\/p>\n
Key Changes in 2026 <\/p>\n
With the New Year comes increases in retirement account limits. In 2026, people can put more money in 401(k)s and IRAs.\n<\/p>\n
For 2026, the 401(k) contribution limit is $24,500<\/a>, up from $23,500 in 2025. Additionally, the maximum annual contribution for IRAs is $7,500<\/a> in 2026, up from $7,000 last year.\n<\/p>\n Plus, if you’re a worker aged 50 or older who plans to make catch-up contributions to your 401(k) in 2026, there could be big changes in how you make those contributions.\n<\/p>\n One wrinkle for higher earners: Under Secure 2.0, workers 50 and older who made more than $150,000 last year must now make catch-up contributions on a Roth basis<\/a>\u2014meaning after-tax dollars go in, but withdrawals in retirement are tax-free.\n<\/p>\n Use Your Pay Raise To Save For Retirement <\/p>\n If you got a pay raise this year, consider putting that money to work by stashing some of it in a retirement account, said Byrke Sestok, a certified financial planner (CFP) and partner at MONECO Advisors.\n<\/p>\n “When you come to pay raise time, take some of it and increase your 401(k) contributions<\/a> by that amount,” Sestok said. “So if you get a 3% raise, increase your 401(k) contributions by 1%.<\/p>\n Automate Your Savings <\/p>\n Maryanne Gucciardi, a CFP and founder of Wealthmind Financial Planning, recommends setting up automatic contributions<\/a>, which you can do for a 401(k), IRA, brokerage account, and more.\n<\/p>\n “Make your contributions automatic. That way it’s easy to be disciplined,” Gucciardi said.\n<\/p>\n