As mentioned Friday, the IRS announced the new contribution limits for Retirement Plans and IRA’s among others …. Recall the adjustments from the prior year were pretty tepid … Lets see if we can hit the high points this year … Here is the actual announcement – (6 pages bad format) and here is a better formatted press release as well…again these all kick in for 2026!
2026 Cost of Living Adjusted Retirement and IRA Limits
401k and similar corporate plans up $1k from $23,500 to $24,500 – Over age 50 catch up moves from $7k to $7,500 and Catch up Catch up contributions for age 60-63 remains at $11.250 total for those that qualify – NOTE – Highly compensated individuals must contribute catch ups to a Roth inside there plan effectively losing the deduction!
IRA Contributions move from $7k to $7,500 – Over age 50 Catch up moves from $1k to $1,100
Here are some of the phase outs-
For single taxpayers covered by a workplace retirement plan, the IRA phase-out range is increased to between $81,000 and $91,000, up from between $79,000 and $89,000 for 2025.
For married couples filing jointly, if the spouse making the IRA contribution is covered by a workplace retirement plan, the phase-out range is increased to between $129,000 and $149,000, up from between $126,000 and $146,000 for 2025.
For an IRA contributor who is not covered by a workplace retirement plan and is married to someone who is covered, the phase-out range is increased to between $242,000 and $252,000, up from between $236,000 and $246,000 for 2025
The income phase-out range for taxpayers making contributions to a Roth IRA is increased to between $153,000 and $168,000 for singles and heads of household, up from between $150,000 and $165,000 for 2025. For married couples filing jointly, the income phase-out range is increased to between $242,000 and $252,000, up from between $236,000 and $246,000 for 2025.
Also, as a reminder our handy Tax Sheet for 2026 will include all of these adjustments AND we will highlight the most used, just as in prior years!
Have a Great “New 2026 Contribution Limit” Day!
John A. Kvale CFA, CFP
AI Content Authenticity: AI created the Uncle Sam Image. All of the following text content has been completed by myself and has not been edited or created by AI. Occasionally we do use AI for images and will note when appropriate.
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
