What are catch-up contributions for older workers in employer plans?

Once you reach age 50, the IRS lets you contribute an extra catch-up amount to your 401(k), 403(b), or governmental 457(b) on top of the standard employee deferral limit. The catch-up figure is set annually and indexed for inflation, so verify the current number at irs.gov.

SECURE 2.0 added a higher catch-up for workers ages 60 through 63, and beginning in 2026 it requires that catch-up contributions by higher earners (those over a wage threshold) be made as Roth rather than pre-tax. The 457(b) also has its own special final-three-years catch-up that can be even larger and cannot be combined with the age-50 catch-up in the same year. If you started saving late, catch-up contributions are a powerful way to accelerate.