Retirement Account Contribution Limits for 2026: What You Need to Know

As we step into 2026, it’s a great time to review your retirement savings strategy. The IRS has announced new contribution limits for retirement accounts, giving you more opportunities to build long-term wealth and reduce taxable income.

Updated Contribution Limits

401(k), 403(b), and most 457 plans: The annual contribution limit has increased to $24,500 (up from $23,500 in 2025).
Catch-up contributions (age 50+): You can add an extra $8,000, bringing your total potential contribution to $32,500.
Traditional and Roth IRAs: The limit is now $7,500, with a $1,100 catch-up for those 50 and older.

These changes mean you can save more for retirement while potentially lowering your taxable income.

IRS Notice 2025-67, 2026 Amounts Relating to Retirement Plans and IRAs, as Adjusted for Changes in Cost-of-Living (Nov. 13, 2025), available at https://www.irs.gov/pub/irs-drop/n-25-67.pdf---

Why This Matters

Maximizing contributions early in the year can help your money grow longer and take advantage of compounding. But contribution limits are just one piece of the puzzle—your deferral rate and overall plan design matter just as much.

Check Your Current Deferral Rate

Even if you’re contributing regularly, your deferral percentage may not align with your retirement goals. A small adjustment today can make a big difference over time. Ask yourself:

Am I contributing enough to reach the new limits?
Does my current savings rate align with my retirement timeline?
Am I taking full advantage of employer matching?

Talk to Your JT Stratford Advisor

Every financial situation is unique. Before making changes, it’s important to review your entire plan—tax implications, cash flow, and long-term goals. Your JT Stratford advisor can help you:

Determine the right deferral rate for your income and goals.
Explore Roth vs. Traditional contributions.
Integrate retirement savings with your broader wealth strategy.

Ready to make the most of 2026?

Contact your JT Stratford advisor today to review your retirement plan and ensure you’re on track for the future you envision.

Disclosure: IRS Contribution limits are subject to change. This information is for educational purposes only and should not be construed as investment or tax advice. Contribution limits and tax rules are subject to change. Please consult with a qualified advisor regarding your specific situation.

JT Stratford, LLC is an SEC-registered investment adviser. This content is for informational purposes only and does not constitute personalized investment advice. Investing involves risk, including the possible loss of principal. Additionally, while our services include tax planning, please note we do not offer specific tax services; so you will want to consult your tax preparer before implementing any tax planning strategies introduced here. Any reduction in taxes would depend on an individual’s tax situation. No information found on this website is intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor. We do not offer tax or legal advice.