The agency announced that the employee deferral limit for 2026 is $24,500, an increase from $23,500 in 2025.
The Internal Revenue Service (IRS) on Thursday announced an increase in the 401(k) contribution limits for 2026.
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The agency stated that the employee deferral limit for 2026 is $24,500, up from $23,500 in 2025. Apart from 401(k)s, the new limit also applies to 403(b)s, governmental 457 plans, as well as the federal Thrift Savings Plan.
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