You can contribute to a workplace 401(k) and an IRA in the same year. For 2026, the standard 401(k) employee deferral limit is $24,500, while the combined limit for traditional and Roth IRAs is $7,500—or $8,600 if you are age 50 or older. Your usable limit can be lower because of compensation, income, age, or plan rules, so start by checking your employer’s match and the rules that apply to you.
How much can you contribute in 2026?
The limits below are for U.S. federal tax year 2026. The IRS announced these annual limits in 2025; they can change in later years.
| Account or contribution | 2026 limit | Important qualification |
|---|---|---|
| Standard 401(k) employee deferrals | $24,500 | A plan may set a lower limit. SIMPLE 401(k) plans have a different limit. |
| 401(k) catch-up, generally age 50 or older | $8,000 additional | Available only if the plan permits catch-up contributions. |
| 401(k) higher catch-up for people turning 60–63 in 2026 | $11,250 additional | Applies to eligible participants whose plan permits catch-ups. |
| Traditional and Roth IRAs combined | $7,500 | Limited to taxable compensation if that is lower. |
| IRA catch-up, age 50 or older | $1,100 additional; $8,600 total | The total is shared across all traditional and Roth IRAs and remains subject to compensation. |
The 2026 401(k) limits and catch-up rules are described in the IRS announcement of the 2026 limits. The IRA limit applies to all of your traditional and Roth IRA contributions combined—not to each account separately. See the IRS IRA contribution-limit guidance.
Start with your 401(k) match and plan rules
Find the contribution rate that earns the full match
If your employer offers matching contributions, check the plan’s formula and set your salary deferral high enough to receive the full match if your budget allows. The formula is specific to the plan; an IRS example of a match is not a universal rate. The IRS recommends contacting the plan administrator and adjusting deferrals to take full advantage of available matching contributions in its midyear retirement savings check-up.
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Confirm what your plan actually allows
The federal 2026 standard 401(k) employee limit is not a promise that every worker can defer that much. A plan can impose a lower deferral cap, and some highly compensated employees or managers may face limits related to nondiscrimination testing. Ask the administrator about your personal limit, whether the plan offers catch-ups, and any minimum or other plan terms. SIMPLE 401(k) plans use a different limit.
Employer contributions are separate from the employee’s basic salary-deferral limit, but they count toward the 2026 defined-contribution annual-additions limit, generally the lesser of 100% of compensation or $72,000. Catch-up contributions receive special treatment under that limit. Check the IRS announcement and your plan’s rules before treating the overall limit as available contribution room.
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Use catch-ups only if eligible and permitted
For 2026, eligible participants age 50 or older may make up to $8,000 in 401(k) catch-up contributions, if their plan permits them. Someone who turns 60, 61, 62, or 63 during 2026 may qualify for the higher $11,250 catch-up limit instead. Catch-ups are elective deferrals and must be made by the end of the plan year.
There is also a 2026 tax-treatment rule for certain catch-ups: if your prior-year wages from the employer sponsoring the plan exceeded $150,000, and the plan offers Roth contributions, your catch-up contributions must be Roth contributions. Confirm how the rule applies with your plan administrator.
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Decide between traditional and Roth 401(k) contributions
If your plan offers both, the main difference is when the contributions are generally taxed. The IRS describes pre-tax elective deferrals as salary-reduction contributions; designated Roth contributions are included in gross income currently and are tax-free when distributed under applicable rules. A plan that offers designated Roth contributions must also offer pre-tax elective deferrals. Neither choice is best for everyone: consider your current tax circumstances and plan details.
- Traditional pre-tax deferrals: generally reduce current taxable income.
- Designated Roth deferrals: are included in income now; qualified distributions are tax-free under applicable rules.
See the IRS explanation of retirement-plan contributions for the federal tax treatment.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Can you contribute to an IRA if you have a 401(k)?
Yes. Being covered by a workplace plan does not, by itself, stop you from contributing to a traditional or Roth IRA. It can affect whether a traditional IRA contribution is deductible, while Roth IRA contributions are subject to income phase-outs. In either case, the IRA contribution limit is shared across your traditional and Roth accounts and cannot exceed your taxable compensation.
Traditional IRA deduction phase-outs for 2026
These ranges determine when the deduction for traditional IRA contributions is reduced or eliminated; they are not separate contribution limits.
| Filing status and workplace coverage | 2026 deduction phase-out range |
|---|---|
| Single filer covered by a workplace plan | $81,000–$91,000 |
| Married filing jointly; contributing spouse covered by a workplace plan | $129,000–$149,000 |
| Married filing jointly; contributing spouse not covered, but spouse is covered by a workplace plan | $242,000–$252,000 |
| Married filing separately; contributor covered by a workplace plan | $0–$10,000 |
These are 2026 ranges announced by the IRS. Check your filing status, workplace coverage, and the current IRS calculation before claiming a deduction.
Roth IRA income phase-outs for 2026
| Filing status | 2026 contribution phase-out range |
|---|---|
| Single or head of household | $153,000–$168,000 |
| Married filing jointly | $242,000–$252,000 |
| Married filing separately | $0–$10,000 |
A phase-out means the permitted Roth IRA contribution can be reduced as income moves through the range; it is not necessarily an all-or-nothing cutoff at the lower threshold. The ranges are from the IRS’s 2026 limit announcement. Use current IRS instructions to determine the amount allowed for your circumstances.
Quick Recap
A practical order for increasing contributions
- Review your cash flow. Choose an increase you can sustain alongside essential expenses and near-term needs; the legal maximum is not a savings target.
- Read your plan’s match and contribution terms. Ask the administrator what deferral rate earns the full available match, whether your plan has a lower limit, and whether it offers Roth and catch-up contributions.
- Set a 401(k) contribution amount. If affordable, consider first contributing enough to capture the full employer match. Increase further only after confirming your plan’s limits and your budget.
- Check IRA eligibility and tax treatment. Confirm your taxable compensation, filing status, income, workplace coverage, and age before deciding how much to put in a traditional or Roth IRA.
- Track the combined IRA total. Add contributions across every traditional and Roth IRA so you do not exceed the shared 2026 limit.
- Revisit the amount during the year. Adjust for changes in pay, expenses, eligibility, or plan terms, and verify the annual limits when saving for a different tax year.
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