Overview
- Planned 2026 limits raise catch-up amounts to $1,100 for IRAs (total $8,600) and $8,000 for 401(k)s (total $32,500), with a special $11,250 catch-up for ages 60–63 lifting the 401(k) max to $35,750.
- Workers who earned more than $150,000 in 2025 must make any 2026 401(k) catch-ups as Roth contributions, which could block catch-ups if an employer lacks a Roth option.
- For 2025, Americans 50 and older can add an extra $7,500 to a 401(k) for a $31,000 total and an extra $1,000 to an IRA for an $8,000 total, subject to IRS rules.
- Only about 40% of Americans ages 61–65 are judged ready for retirement, prompting guidance to delay Social Security where possible, which raises benefits roughly 8% per year up to age 70.
- Advisers urge paying down high-interest debt, trimming spending, and adjusting portfolio risk gradually rather than dumping stocks, with many households also reducing housing costs through downsizing or owning homes free and clear.