Catch-up contributions: Rules and limits for older savers

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If you spent most of your working years juggling the expenses of home and family, your retirement accounts may not have gotten as much attention as you would have liked. But catch-up contributions can help put you back on track.

Catch-up contributions allow older savers to set aside extra money in individual retirement accounts (IRAs), employer-sponsored plans—including 401(k)s and 403(b)s—and health savings accounts (HSAs).

If you’re 50 or older by the end of the calendar year, you’re no longer limited to standard contribution limits for your 401(k) or IRAs. For HSAs, catch-up contributions kick in after age 55.

Understanding catch-up contribution rules can help you avoid contributing too much and triggering tax issues.

For 2026, the contribution limit for an employer-sponsored plan such as a 401(k) or 403(b) is $24,500 a year. If you’re 50 or older, you can make an $8,000 catch-up contribution annually, for a total of $32,500.

Workers ages 60 to 63 qualify for an enhanced catch-up contribution of $11,250, allowing total contributions of up to $35,750 for the year.

Contributions to a traditional 401(k) or 403(b) are typically made with pretax dollars, which can lower your taxable income. You generally pay taxes when you withdraw the money in retirement.

The annual contribution limit for traditional and Roth IRAs combined is $7,500 in 2026. Savers age 50 and older can contribute an additional $1,100 catch-up amount, for a total of $8,600.

Similar to a 401(k), a traditional IRA is a tax-deferred account. A Roth IRA is funded with after-tax dollars, but the same catch-up contribution rules apply.

Clarifications on IRA contributions:

Health savings accounts are often funded with pretax dollars, which may reduce your taxable income. HSA catch-up contributions become available at age 55, unlike retirement account catch-up contributions.

If you have an HSA and you’re 55 or older by the end of the year, you can contribute an additional $1,000 catch-up amount to your account. For 2026, the HSA contribution limit is $4,400 for self-only coverage and $8,750 for family coverage.

If you and your spouse are both 55 or older, you can each add the extra $1,000 to your HSAs. If you meet the age requirement but your spouse doesn’t, only you can make a catch-up contribution—even if you both have HSAs..

Unlike flexible spending accounts (FSAs), funds in an HSA have no withdrawal deadlines or use-it-or-lose-it rules, and roll over from year to year. (Withdrawals for nonqualified expenses are subject to income taxes.)

Even better, the money can be withdrawn tax free for qualified medical expenses now—or later in retirement. So adding the extra $1,000 once you turn 55 could be a smart move, given that medical expenses loom large as you get older.

Catch-up contributions often fly under the radar, but they’re a powerful way to boost your retirement savings. If you’re already contributing to a 401(k), IRA, or HSA, adding extra funds might be simpler than you think. With automatic contributions in place, increasing the amount you deposit each paycheck is a quick and easy way to grow your nest egg for the future.