2025 401k Catch Up Rules Over 50

2025 401k Catch Up Rules Over 50. Catch Up 2025 401k Melanie Zerbe Sixty- to 63-year-olds get a super contribution for the first time. One of the most valuable perks of a 401 (k) is its high contribution limits

IRS Announces Higher 401k Limits And New CatchUp For 2025
IRS Announces Higher 401k Limits And New CatchUp For 2025 from thecollegeinvestor.com

The limitation under section 414(v)(2)(B)(iii) for catch-up contributions to certain accounts or plans described in section 401(k)(11) or section 408(p) that generally applies for individuals aged 50 or over remains $3,850. Sixty- to 63-year-olds get a super contribution for the first time.

IRS Announces Higher 401k Limits And New CatchUp For 2025

Key features of 401 (k) catch-up contributions include: Sixty- to 63-year-olds get a super contribution for the first time. The limit on catch-up contributions for 401 (k)s in 2025 for taxpayers 50 and older is $7,500 — the same as it is in 2024, bringing the total contribution limit to $31,000 in 2025.

Catch Up 2025 401k Maria K Gray. The 401k Contribution Limits for the year 2025 are expected to see many increases in different plans including elective deferral limit to $24,000, defined contribution plan to $71,000, catch-up contribution to $8,000 for the age 50 or above and 12,000 for the age 60-63. In 2025, adults under 50 can contribute up to $23,500 to one of these accounts, and this doesn't include any match.

Catch Up 2025 401k Maria K Gray. 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. Contribution limits for 401(k) and other workplace retirement plans rise for 2025