The IRS has released the official cost-of-living adjustments for retirement plans and IRAs for 2026. These changes, published in Notice 2025-67, reflect numerous increases across contribution limits, compensation thresholds, and phase-out ranges. For your convenience, I have included a side-by-side comparison of the key 2025 and 2026 limits below, using the 2025 figures from Notice 2024-80 and the newly issued 2026 figures from Notice 2025-67.
Please review the updated amounts as you prepare year-end planning and begin discussing 2026 strategy with clients.
Key Retirement Plan & IRA Limits: 2025 vs. 2026
| Category | 2025 Limit | 2026 Limit |
|---|---|---|
| Defined Benefit Plan Annual Benefit (415(b)) | $280,000 | $290,000 |
| Defined Contribution Annual Additions (415(c)) | $70,000 | $72,000 |
| 401(k)/403(b)/457(b) Elective Deferral Limit (402(g)) | $23,500 | $24,500 |
| Age 50+ Catch-Up Contribution (most plans) | $7,500 | $8,000 |
| Age 60–63 Special Catch-Up (SECURE 2.0) | $11,250 | $11,250 (unchanged) |
| SIMPLE IRA / SIMPLE 401(k) Employee Deferral | $16,500 | $17,000 |
| SIMPLE Age-50+ Catch-Up | $3,500 | $4,000 |
| Annual Compensation Limit (401(a)(17)) | $350,000 | $360,000 |
| Highly Compensated Employee (HCE) Threshold | $160,000 | $160,000 (unchanged) |
| Key Employee (Top-Heavy) Threshold | $230,000 | $235,000 |
| IRA Contribution Limit | $7,000 (age 50+ catch-up +$1,000) | $7,500 (age 50+ catch-up +$1,100) |
| Traditional IRA Deduction Phase-Out (Active Participant, MFJ) | $126,000–$146,000 | $129,000–$149,000 |
| Traditional IRA Deduction Phase-Out (Active Participant, Single/HOH) | $79,000–$89,000 | $81,000–$91,000 |
| Roth IRA Contribution Phase-Out (MFJ) | $236,000–$246,000 | $242,000–$252,000 |
| Roth IRA Contribution Phase-Out (Single/HOH) | $150,000–$165,000 | $153,000–$168,000 |
| Qualified Charitable Distribution (QCD) Annual Limit | $108,000 | $111,000 |