IRS Raises 2026 Roth IRA Limit to $7,500 as 401(k) Cap Climbs to $24,500
Updated
Updated · heygotrade.com · May 21
IRS Raises 2026 Roth IRA Limit to $7,500 as 401(k) Cap Climbs to $24,500
3 articles · Updated · heygotrade.com · May 21
The 2026 Roth IRA contribution cap will rise by $500 to $7,500, while savers 50 and older can put away $8,600 including a $1,100 catch-up.
Income eligibility also expands: Roth IRA contributions start phasing out at $153,000 to $168,000 for single filers and $242,000 to $252,000 for married couples filing jointly.
The IRS also lifted the 2026 401(k) contribution limit to $24,500, giving workers another higher tax-advantaged savings ceiling alongside the Roth increase.
The update preserves Roth IRAs' core appeal—after-tax contributions, tax-free investment growth and tax-free qualified withdrawals—while leaving key planning rules such as five-year clocks and backdoor Roth pro-rata calculations in place.
How can a little-known IRS rule help you move after-tax 401(k) money into a Roth IRA tax-free?
How does a new 2026 mandate for high earners fundamentally change 401(k) catch-up contributions?
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