Employees in their early 60s can contribute several thousand dollars more to their 401(k) retirement plan starting next year thanks to a recent change in tax law.
People 50 and older were already able to put in more than the general 401(k) limit as a “catch-up” contribution but in 2025 workers ages 60 to 63 have a “super catch-up” option, a chance to save an additional $3,750 tax-deferred.
Here’s how 401(k) contribution limits breakdown for 2025, according to the IRS:
- Employee contribution limit: $23,500
- Catch-up contributions for employees 50 and older: $7,500
- Catch-up contributions for employees 60–63: $11,250