🕷️ Crawler Inspector

URL Lookup

Direct Parameter Lookup

Raw Queries and Responses

1. Shard Calculation

Query:

Response:

Calculated Shard: 0 (from laksa198)

2. Crawled Status Check

Query:

curl -X POST \
  'http://laksa000.int.ahrefs:8124/' \
  -H 'Content-Type: text/plain' \
  -H 'X-ClickHouse-Database: crawler3' \
  -H 'Authorization: Basic YXBpOg==' \
  -d 'SELECT getAhrefsURLFromUnparsed(src_unparsed) AS found_url, ifNull(toUnixTimestamp(download_stamp), 0) AS crawl_time, ifNull(toUnixTimestamp(props_url_first_seen), 0) AS first_indexed_time, download_http_code AS http_code, src_unparsed AS src_unparsed, src_root_hash AS src_root_hash, history_drop_reason AS history_drop_reason, meta_title AS meta_title, meta_descriptions AS meta_descriptions, attrs_boilerpipe_text AS attrs_boilerpipe_text, attrs_markdown AS attrs_markdown, attrs_readable_markdown AS attrs_readable_markdown, meta_canonical AS meta_canonical FROM crawler3.page_info_local FINAL PREWHERE (src_root_hash, src_unparsed) IN ((getAhrefsRootHashFromUnparsed(getAhrefsUnparsedNoserviceFromURL(\'https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx\')), getAhrefsUnparsedNoserviceFromURL(\'https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx\'))) FORMAT JSONEachRow'

Response:

{"found_url":"https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx","crawl_time":1775073173,"first_indexed_time":1763913101,"http_code":200,"src_unparsed":"com,adp!www,\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx s443","src_root_hash":"2949169215235785800","history_drop_reason":null,"meta_title":"401(k) Contribution Limits |2026, 2025 and Earlier | ADP","meta_descriptions":["2026 and 2025 401(k) limits explained. A guide for HR and finance leaders to maximize contributions and meet fiduciary requirements."],"attrs_boilerpipe_text":"insight\nRetirement Services\n401(K) Contribution Limits\nEvery January brings a reset – new\n401(k)\ncontribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for\ncompliance\n, plan design and\nemployee engagement\n.\nTable of Contents\nWhat are contribution limits?\n401(k) contribution limits for 2026\nIndividual retirement account (IRA) contribution limits\n401(k) contribution limits for 2025\nRoth 401(k) contribution limits\nWhat are contribution limits?\nContribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals,\nemployer matches\nand plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors.\n401(k) contribution limits for 2026\nThe 401(k) contribution limits for 2026 cover:\nHow much employees can save through elective deferrals\nHow catch-up contributions work for those age 50 and older\nHow employer contributions fit into the total\nFor HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of\nretirement solutions that integrate with payroll\ncan help reduce errors and support daily compliance.\nContribution limits at a glance\nThe table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication.\nPlan maximum contribution limits\n2025\n2026\nSection 401(k) or section 403(b) plan deferral limits\n$23,500\n$24,500\nCatch up contributions for employees age 50\n1\n$7,500\n$8,000\nSection 408(p)(2)(E) SIMPLE IRA plan\n$16,500\n$17,000\nSIMPLE IRA age 50+ catch up contributions\n$3,500\n$4,000\nSection 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations)\n$23,500\n$24,500\nSection 415 limit for:\nDefined contribution plans\nDefined benefits plans\n \n$70,000\n$280,000\n \n$72,000\n$290,000\nHighly compensated employees section 414(q)(1)(B)\n$160,000\n$160,000\nKey employee section 416(i)(1)(A)(i)\n$230,000\n$235,000\nIncludible compensation:\nSection 401(a)(17)\nSEP compensation\nSEP earnings threshold\n \n$350,000\n$350,000\n$750\n \n$360,000\n$360,000\n$800\nSection 409 employee stock ownership plan subject to 5-Year distribution period:\nMaximum balance\nAmount used to determine the lengthening of the 5-year period\n \n$1,415,000\n$280,000\n \n$1,455,000\n$290,000\n1\nEligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information.\nEmployee contribution limits\nMaximum elective deferral limit: $24,500\nApplies to the total of pretax and Roth contributions\nPayroll integration helps stop contributions once the cap is reached\nContribution limits over 50\nEmployees aged 50 and older can contribute additional funds beyond the standard limit.\nStandard catch-up limit (age 50+): $8,000\nSuper catch-up (ages 60 to 63): $11,250\nBeginning in 2026,\nSECURE 2.0\nrequires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above $150,000)\nEmployer contribution limits\nEmployers can add to employee savings through matches or profit-sharing.\nTotal combined employer and employee contribution limit: the lesser of 100% of compensation or $72,000\nWith catch-up included: $80,000 (age 50+) and $83,250 (age 60 to 63)\nOptions like\nsafe harbor\nor qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance\nIndividual retirement account (IRA) contribution limits\nIn 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification.\nState rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings.\nTraditional and Roth IRA contribution limit (2026): $7,500\nCatch-up contribution (age 50+): $1,100\nRoth IRA eligibility phases out at higher incomes\n401(k) contribution limits for 2025\nThe 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement.\nMaximum 401(k) contribution for 2025: $23,500 employee deferral\nCatch-up contribution (age 50+): $7,500\nSuper catch-up contribution (ages 60-63): $11,250 under SECURE 2.0\nTotal contribution limit: $70,000, or $77,500+ with catch-up (depending on age and employer contributions)\nHR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward.\nContributions comparison: 2023-2026\nYear\nEmployee Deferral\nCatch-Up (50+)\nTotal Contribution\nWith Catch-Up\n2023\n$22,500\n$7,500\n$66,000\n$73,500\n2024\n$23,000\n$7,500\n$69,000\n$76,500\n2025\n$23,500\n$7,500 (ages 50–59) \/ $11,250 (ages 60–63)\n$70,000\n$76,500+\n2026\n$24,500\n$8,000 (ages 50–59) \/ $11,250 (ages 60–63)\n$72,000\n$80,000 (ages 50+) \/ $83,250 (ages 60–63)\nRoth 401(k) contribution limits\nThe Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to $24,500 in total, whether the contributions are pretax, Roth or a mix of both.\nIntegrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic\nenrollment\n, managed elections and real-time contribution tracking.\nAfter-tax 401(k) contribution limits\nAfter-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach $72,000, or more when catch-up contributions are included.\nRoth vs. after-tax contributions\nRoth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design.\nStarter 401(k) contribution limits\nStarter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits.\n2026 contribution limit: $6,000\nCatch-up contribution (age 50+): $1,100\nLimits are closer to IRA contribution levels\nLimits for highly compensated employees\nHighly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning $160,000 or more.\nIf a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit.\nHelp your people plan for peace of mind\nGet simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP.\nFrequently asked questions\nChris Magno\nSenior Vice President, General Manager, ADP Retirement Services\nChris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies.\nWant more exclusive business insights like this delivered to your inbox?\nSubscribe now\nM-816042-2025-10-08\nADP Inc. owns and operates the\nADP.com\nwebsite. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member\nFINRA\n, an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and\/or investment options available in any ADP retirement products.","attrs_markdown":"[Skip to main content](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#main-content)\n\n[Get Pricing](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\n[![ADP logo](https:\/\/www.adp.com\/-\/media\/adp2025\/ui\/logo-adp.svg?rev=2ffd0a893eca4842b0f071c1e9c186b8&hash=85D6D9870432E605FE0FD7F830F16744)](https:\/\/www.adp.com\/)\n\nI am looking for…\n\n- [What We Offer](https:\/\/www.adp.com\/what-we-offer.aspx)\n  - [products and services](https:\/\/www.adp.com\/what-we-offer.aspx)\n    - [Payroll](https:\/\/www.adp.com\/what-we-offer\/payroll.aspx) [Small Business Payroll (1-49 Employees)](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-1-49-employees.aspx) [Midsized to Enterprise Payroll (50-1,000+ Employees)](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-50-1000-plus-employees.aspx)\n      [![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/images\/misc\/navpromo_runproductscreen.png?rev=6b3e75497a62473fa94e742836118e66&hash=264EA297C8FD47547A7480656DD25AB0) Compare Packages Find the package that's right for your business.](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-1-49-employees\/payroll-packages.aspx?segmenter-force=yes)\n    - Products & Services\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_timescheduling.svg?rev=97de4f626e144a08a87f5362b6ec10c1&hash=E2E64F345E2587B71741B132C7E301A0)[Time & Attendance](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_talent.svg?rev=54eb4edb62c246a087b0933f80e16242&hash=59A436B0F163608C3361C5BEEDE45A16)[Talent](https:\/\/www.adp.com\/what-we-offer\/talent.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_benefits.svg?rev=8de2d18225924c318f422b48fd0dd5e0&hash=38F9D56ED71D99472B30723AC870FB32)[Benefits & Insurance](https:\/\/www.adp.com\/what-we-offer\/benefits.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_hrsupport.svg?rev=6a1862fe818f45ce8bf73d068f0f26bb&hash=26D5E19C51804244118550703339B90E)[PEO & HR Outsourcing](https:\/\/www.adp.com\/what-we-offer\/hr-outsourcing-and-peo\/professional-employer-organization.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_taxcompliance.svg?rev=bebed6448d0240d3bf4187bbeded4fae&hash=1471DF919C8061EBBABAD40090BA53CD)[Compliance Services](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance.aspx)\n      \n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_technology.svg?rev=8b66758e87c74bcba99957d370a08393&hash=959B84EC656C6621BAA051C6EEBABE69)[AI Capabilities](https:\/\/www.adp.com\/what-we-offer\/ai-solutions.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_integrations.svg?rev=eec93fa2e29c45469669dd04192b8142&hash=48325C88EEFAAFDF3B80024A49923F36)[Integrations](https:\/\/www.adp.com\/what-we-offer\/integrations.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_userfriendlytech.svg?rev=c495efd32c414c0fba3c15f1c467ed0f&hash=C778A7E478FF2569049568F6A3EE548E)[App Marketplace](https:\/\/www.adp.com\/what-we-offer\/marketplace.aspx)\n      - ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/icons\/default\/adp_icon_flexibility.svg?rev=e352e86fc00d44a0ac48db37ad33da62&hash=EC2CCFC2E969C02080BE1617F6965F6A)[Products by Name](https:\/\/www.adp.com\/what-we-offer\/products.aspx)\n  - [Payroll](https:\/\/www.adp.com\/what-we-offer\/payroll.aspx)\n    - Payroll\n      Fast, easy, accurate payroll and tax, so you can save time and money.\n      [Payroll Overview](https:\/\/www.adp.com\/what-we-offer\/payroll.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/payroll.aspx)\n      - [Small Business Payroll (1-49 Employees)](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-1-49-employees.aspx)\n      - [Midsized to Enterprise Payroll (50-1,000+ Employees)](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-50-1000-plus-employees.aspx)\n      - [Compare Packages Find the package that's right for your business. ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/shared\/misc\/comparepackage_navigation_257w_en.jpg?rev=a0b18990f4b14fcbbc7780c375c6fb94&hash=F41789D6B8F45657BCBC98164344D83F)](https:\/\/www.adp.com\/what-we-offer\/payroll\/payroll-for-1-49-employees\/payroll-packages.aspx?segmenter-force=yes)\n  - [Time & Attendance](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance.aspx)\n    - Time & Attendance\n      Manage labor costs and compliance with easy time & attendance tools. For advanced capabilities, workforce management adds optimized scheduling, labor forecasting\/budgeting, attendance policy, leave case management and more.\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance.aspx)\n      - [Time & Attendance](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance.aspx)\n      - [Workforce Management](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance\/workforce-management.aspx)\n  - [Talent](https:\/\/www.adp.com\/what-we-offer\/talent.aspx)\n    - Talent\n      From recruitment to retirement, getting the very best out of your people.\n      [Talent Overview](https:\/\/www.adp.com\/what-we-offer\/talent.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/talent.aspx)\n      - [Recruiting & Hiring](https:\/\/www.adp.com\/what-we-offer\/talent\/talent-acquisition.aspx)\n      - [Talent Management & Activation](https:\/\/www.adp.com\/what-we-offer\/talent\/talent-management.aspx)\n      - [Employee Experience](https:\/\/www.adp.com\/what-we-offer\/hr-services\/employee-experience.aspx)\n  - [Benefits & Insurance](https:\/\/www.adp.com\/what-we-offer\/benefits.aspx)\n    - Benefits & Insurance\n      Employee benefits, flexible administration, business insurance, and retirement plans.\n      [Benefits Overview](https:\/\/www.adp.com\/what-we-offer\/benefits.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/benefits.aspx)\n      - [Benefits Administration](https:\/\/www.adp.com\/what-we-offer\/benefits\/benefits-administration.aspx)\n      - [Retirement Plans](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement.aspx)\n      - [Group Health Insurance](https:\/\/www.adp.com\/what-we-offer\/benefits\/group-health-insurance.aspx)\n      - [Business Insurance](https:\/\/www.adp.com\/what-we-offer\/benefits\/business-insurance.aspx)\n      - [Workers’ Compensation Insurance](https:\/\/www.adp.com\/what-we-offer\/benefits\/business-insurance\/workers-compensation.aspx)\n  - [PEO & HR Outsourcing](https:\/\/www.adp.com\/what-we-offer\/hr-outsourcing-and-peo\/professional-employer-organization.aspx)\n    - PEO & HR Outsourcing\n      See how our team of experienced professionals can provide ongoing support for HR, payroll, and more—allowing you to focus on other aspects of your business.\n    - - [PEO (Professional Employer Organization)](https:\/\/www.adp.com\/what-we-offer\/hr-outsourcing-and-peo\/professional-employer-organization.aspx)\n      - [HR Outsourcing](https:\/\/www.adp.com\/what-we-offer\/hr-outsourcing-and-peo\/outsource-hr-processes.aspx)\n  - [Compliance Services](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance.aspx)\n    - Compliance Services\n      Simplify and unify your HCM compliance processes.\n      [Compliance Overview](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance.aspx)\n      - [Business Tax Credits](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/employment-tax-credits.aspx)\n      - [Payment Solutions](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/wage-payments.aspx)\n      - [Payroll Taxes](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/employment-tax.aspx)\n      - [Health Compliance](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/health-compliance.aspx)\n      - [Wage Garnishment](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/wage-garnishment.aspx)\n      - [Compliance Integrations](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/integrations.aspx)\n      - [Unemployment Claims](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/unemployment-claims.aspx)\n      - [Employment Verification](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance\/employment-verification.aspx)\n      - [Contractor Management](https:\/\/www.adp.com\/what-we-offer\/products\/workmarket.aspx)\n  - [AI Capabilities](https:\/\/www.adp.com\/what-we-offer\/ai-solutions.aspx)\n    - Artificial Intelligence\n      Bring breakthrough AI to your payroll and HR experiences.\n      [AI Overview](https:\/\/www.adp.com\/what-we-offer\/ai-solutions.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/ai-solutions.aspx)\n      - [AI Capabilities](https:\/\/www.adp.com\/what-we-offer\/ai-solutions\/ai-capabilities.aspx)\n      - [Responsible AI](https:\/\/www.adp.com\/what-we-offer\/ai-solutions\/responsible-ai.aspx)\n  - [Integrations](https:\/\/www.adp.com\/what-we-offer\/integrations.aspx)\n    - Integrations\n      Quickly connect ADP solutions to popular software, ERPs and other HR systems.\n      [Integrations Overview](https:\/\/www.adp.com\/what-we-offer\/integrations.aspx)\n  - [App Marketplace](https:\/\/www.adp.com\/what-we-offer\/marketplace.aspx)\n    - App Marketplace\n      Our online store for HR apps and more; for customers, partners and developers.\n    - - [App Marketplace](https:\/\/www.adp.com\/what-we-offer\/marketplace.aspx)\n      - [Custom Integrations](https:\/\/www.adp.com\/what-we-offer\/integrations\/api-central.aspx)\n  - [Products by Name](https:\/\/www.adp.com\/what-we-offer\/products.aspx)\n    - Products by Name\n      Comprehensive payroll and HR software solutions.\n      [See All Products](https:\/\/www.adp.com\/what-we-offer\/products.aspx)\n    - - [Overview](https:\/\/www.adp.com\/what-we-offer\/products.aspx)\n      - [RUN Powered by ADP®](https:\/\/www.adp.com\/what-we-offer\/products\/run-powered-by-adp.aspx)\n      - [ADP TotalSource®](https:\/\/www.adp.com\/what-we-offer\/products\/totalsource-peo.aspx)\n      - [ADP Workforce Now®](https:\/\/www.adp.com\/what-we-offer\/products\/adp-workforce-now.aspx)\n      - [ADP Lyric HCM](https:\/\/www.adp.com\/what-we-offer\/products\/lyric.aspx)\n      - [ADP® Comprehensive Services](https:\/\/www.adp.com\/what-we-offer\/products\/adp-comprehensive-services.aspx)\n      - [ADP SmartCompliance®](https:\/\/www.adp.com\/what-we-offer\/products\/adp-smartcompliance.aspx)\n      - [Wisely® by ADP](https:\/\/www.adp.com\/what-we-offer\/products\/wisely-by-adp.aspx)\n      - [ADP® Global Payroll](https:\/\/www.adp.com\/what-we-offer\/products\/adp-global-payroll.aspx)\n      - [ADP® DataCloud](https:\/\/www.adp.com\/what-we-offer\/products\/adp-datacloud.aspx)\n- [Who We Serve](https:\/\/www.adp.com\/who-we-serve.aspx)\n  - [Overview](https:\/\/www.adp.com\/who-we-serve.aspx)\n    - Who We Serve\n      See how we help organizations like yours with a wider range of payroll and HR options than any other provider.\n  - [Small Business](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1-49-employees.aspx)\n    - Small Business\n      Businesses with 1-49 employees lean on ADP for simplicity, efficiency and value for their various payroll and HR needs.\n      [Small Business Overview](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1-49-employees.aspx)\n  - [Midsized Business](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/50-999-employees.aspx)\n    - Midsized Business\n      Companies with 50-999 employees save time and money by turning to ADP for the adaptable technology and support that helps them meet any payroll or HR challenge.\n      [Midsized Business Overview](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/50-999-employees.aspx)\n  - [Large Business](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1000-employees.aspx)\n    - Large Business\n      For over 70 years, ADP has helped enterprise organizations with 1,000+ employees make the most of their people and processes with secure, integrated payroll and HCM solutions.\n    - - [Large Business Overview](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1000-employees.aspx)\n      - [Global HCM](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/global.aspx)\n      - [Lyric HCM Empower your organization with a full-suite, HCM solution designed for your rhythms of work. ![](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/shared\/misc\/mainnav_promospot_lyric_205w_en.png?rev=192ae1d9d14e4dc7b09b676be62647cb&hash=D4B326AC24466250B3BED2550E6F7AF0)](https:\/\/www.adp.com\/what-we-offer\/products\/lyric.aspx)\n  - [Business Size](https:\/\/www.adp.com\/who-we-serve\/by-business-size.aspx)\n    - Business Size\n      Small, midsized or large, your business has unique needs, from technology to support and everything in between. Learn how we can make your work easier.\n      [See Business Sizes](https:\/\/www.adp.com\/who-we-serve\/by-business-size.aspx)\n    - - [Overview](https:\/\/www.adp.com\/who-we-serve\/by-business-size.aspx)\n      - [1-49 Employees](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1-49-employees.aspx)\n      - [50-999 Employees](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/50-999-employees.aspx)\n      - [1000+ Employees](https:\/\/www.adp.com\/who-we-serve\/by-business-size\/1000-employees.aspx)\n  - [Industries](https:\/\/www.adp.com\/who-we-serve\/by-industry.aspx)\n    - Industries\n      You face specific challenges that require solutions based on experience. Learn how we can tackle your industry demands together.\n      [See Industries](https:\/\/www.adp.com\/who-we-serve\/by-industry.aspx)\n    - - [Overview](https:\/\/www.adp.com\/who-we-serve\/by-industry.aspx)\n      - [Restaurant \/ Hospitality](https:\/\/www.adp.com\/who-we-serve\/by-industry\/hospitality-restaurant-foodservice.aspx)\n      - [Manufacturing](https:\/\/www.adp.com\/who-we-serve\/by-industry\/manufacturing.aspx)\n      - [Professional & Technical Services](https:\/\/www.adp.com\/who-we-serve\/by-industry\/professional-technical-services.aspx)\n      - [Construction](https:\/\/www.adp.com\/who-we-serve\/by-industry\/construction.aspx)\n      - [Financial Services](https:\/\/www.adp.com\/who-we-serve\/by-industry\/financial-services.aspx)\n      - [Retail](https:\/\/www.adp.com\/who-we-serve\/by-industry\/retail.aspx)\n      - [Healthcare](https:\/\/www.adp.com\/who-we-serve\/by-industry\/healthcare.aspx)\n      - [Government \/ Education](https:\/\/www.adp.com\/who-we-serve\/by-industry\/government-education.aspx)\n      - [Nonproﬁt \/ Social Services](https:\/\/www.adp.com\/who-we-serve\/by-industry\/nonprofit-social-services.aspx)\n  - [Partners](https:\/\/www.adp.com\/who-we-serve\/by-partner.aspx)\n    - Partners\n      Learn how we can make a difference by joining forces to improve the success of the clients we share.\n      [See Partners](https:\/\/www.adp.com\/who-we-serve\/by-partner.aspx)\n    - - [Overview](https:\/\/www.adp.com\/who-we-serve\/by-partner.aspx)\n      - [Accountants](https:\/\/www.adp.com\/who-we-serve\/by-partner\/accountants.aspx)\n      - [Brokers](https:\/\/www.adp.com\/who-we-serve\/by-partner\/brokers.aspx)\n      - [Financial Advisors](https:\/\/www.adp.com\/who-we-serve\/by-partner\/financial-advisors.aspx)\n      - [Private Equity](https:\/\/www.adp.com\/who-we-serve\/by-partner\/private-equity.aspx)\n      - [Franchises](https:\/\/www.adp.com\/who-we-serve\/by-partner\/franchise-alliances.aspx)\n      - [Member Organizations](https:\/\/www.adp.com\/who-we-serve\/by-partner\/member-organizations.aspx)\n      - [Banking Professionals](https:\/\/www.adp.com\/who-we-serve\/by-partner\/banking-professionals.aspx)\n      - [Software Providers](https:\/\/www.adp.com\/who-we-serve\/by-partner\/software-providers-development.aspx)\n      - [ERPs](https:\/\/www.adp.com\/who-we-serve\/by-partner\/enterprise-resource-planning.aspx)\n      - [Embedded Payroll](https:\/\/www.adp.com\/what-we-offer\/products\/adp-embedded-payroll.aspx)\n- [Why ADP](https:\/\/www.adp.com\/how-we-differ.aspx)\n- [Resources](https:\/\/www.adp.com\/resources.aspx)\n  - [Overview](https:\/\/www.adp.com\/resources.aspx)\n  - [Small Business](https:\/\/www.adp.com\/resources\/small-business.aspx)\n    - Resource Center\n      Take your organization to the next level with tools and resources that help you work smarter, regardless of your business’s size and goals.\n      [Resources Overview](https:\/\/www.adp.com\/resources.aspx)\n    - [![ADP Research](https:\/\/www.adp.com\/-\/media\/adp\/reskin2022\/images\/shared\/adp_ri_logo_color_en_nav_promo.svg?rev=13dbdefc6a074342a61c9315cb0a610b&hash=C1A586545CFDC2B6F1DA26FC0A50C83C) Discover the latest Today at Work insights from ADP Research](https:\/\/www.adpri.org\/today-at-work)\n      [Your guide to the One Big Beautiful Bill Act ![Your guide to the One Big Beautiful Bill Act](https:\/\/www.adp.com\/-\/media\/adp\/refresh2025\/images\/resources\/big-beautiful-bill\/nav_promo_no_bg.png?rev=9d5d92d429f94068b4e750ceac14c575&hash=0AAA0FA454244FE223B62705E2C5EF2E)](https:\/\/www.adp.com\/resources\/big-beautiful-bill.aspx)\n    - Small Business Resources\n      Discover a wealth of knowledge to help you tackle payroll, HR and benefits, and compliance.\n      [View Resources](https:\/\/www.adp.com\/resources\/small-business.aspx)\n    - - [Overview](https:\/\/www.adp.com\/resources\/small-business.aspx)\n      - [Paying Your People](https:\/\/www.adp.com\/resources\/small-business\/paying-people.aspx)\n      - [Maintaining Compliance](https:\/\/www.adp.com\/resources\/small-business\/compliance.aspx)\n      - [Recruiting & Hiring](https:\/\/www.adp.com\/resources\/small-business\/recruiting-hiring.aspx)\n      - [Outsourcing HR](https:\/\/www.adp.com\/resources\/small-business\/outsourcing.aspx)\n  - [Midsized & Enterprise Business](https:\/\/www.adp.com\/resources\/midsized-enterprise.aspx)\n    - Midsized & Enterprise Business Resources\n      Tap into a wealth of knowledge designed to simplify complex tasks and encourage strategic decisions across key functions.\n      [View Resources](https:\/\/www.adp.com\/resources\/midsized-enterprise.aspx)\n    - - [Overview](https:\/\/www.adp.com\/resources\/midsized-enterprise.aspx)\n      - [Evaluating HCM](https:\/\/www.adp.com\/resources\/midsized-enterprise\/human-capital-management.aspx)\n      - [Paying Your People](https:\/\/www.adp.com\/resources\/midsized-enterprise\/paying-people.aspx)\n      - [Maintaining Compliance](https:\/\/www.adp.com\/resources\/midsized-enterprise\/compliance.aspx)\n      - [Managing Your Workforce](https:\/\/www.adp.com\/resources\/midsized-enterprise\/workforce-management.aspx)\n  - [Paycheck Protection Program Guide](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n  - [Diversity, Equity & Inclusion Toolkit](https:\/\/www.adp.com\/resources\/diversity-equity-and-inclusion.aspx)\n  - [Tools](https:\/\/www.adp.com\/resources\/tools.aspx)\n    - Tools\n      Find payroll and retirement calculators, plus tax and compliance resources.\n      [See All Tools](https:\/\/www.adp.com\/resources\/tools.aspx)\n    - - [Overview](https:\/\/www.adp.com\/resources\/tools.aspx)\n      - [Calculators](https:\/\/www.adp.com\/resources\/tools\/calculators.aspx)\n      - [Tax Guides & Forms](https:\/\/www.adp.com\/resources\/tools\/tax-guides-and-forms.aspx)\n      - [Glossary](https:\/\/www.adp.com\/resources\/tools\/glossary.aspx)\n  - [Webinars & Events](https:\/\/www.adp.com\/resources\/events.aspx)\n    - Webinars and Events\n      Attend webinars or find out where and when we can connect at in-person events.\n      [See Webinars & Events](https:\/\/www.adp.com\/resources\/events.aspx)\n  - [Testimonials](https:\/\/www.adp.com\/resources\/what-others-say\/testimonials.aspx#sort=%40updated%20descending)\n    - Testimonials\n      Don’t take our word for it. Discover what others say about us.\n      [See Testimonials](https:\/\/www.adp.com\/resources\/what-others-say\/testimonials.aspx#sort=%40updated%20descending)\n  - [Demos](https:\/\/www.adp.com\/resources\/demos.aspx)\n    - Demos\n      Discover how easy and intuitive it is to use our solutions.\n      [See Demos](https:\/\/www.adp.com\/resources\/demos.aspx)\n  - [SPARK Blog](https:\/\/www.adp.com\/spark.aspx)\n    - SPARK Blog\n      Read the latest news, stories, insights and tips to help you ignite the power of your people.\n      [View Blog](https:\/\/www.adp.com\/spark.aspx)\n  - [ADP Research](https:\/\/www.adpri.org\/)\n    - ADP Research\n      Access the definitive source for exclusive data-driven insights on today’s working world.\n      [Overview](https:\/\/www.adpri.org\/)\n  - [What Others Say](https:\/\/www.adp.com\/resources\/what-others-say.aspx)\n    - What Others Say\n      Don’t just take our word for it. Discover what others say about us.\n      [See What Others Say](https:\/\/www.adp.com\/resources\/what-others-say.aspx)\n    - - [Overview](https:\/\/www.adp.com\/resources\/what-others-say.aspx)\n      - [Testimonials](https:\/\/www.adp.com\/resources\/what-others-say\/testimonials.aspx)\n      - [Product Reviews](https:\/\/www.adp.com\/resources\/what-others-say\/reviews.aspx)\n      - [Awards](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n      - [Analyst Reports](https:\/\/www.adp.com\/resources\/what-others-say\/analyst-reports.aspx)\n- [About](https:\/\/www.adp.com\/about-adp.aspx)\n  - [Overview](https:\/\/www.adp.com\/about-adp.aspx)\n    - About ADP\n      ADP helps organizations of all types and sizes unlock their potential.\n      [Learn About ADP](https:\/\/www.adp.com\/about-adp.aspx)\n  - [About ADP](https:\/\/www.adp.com\/about-adp.aspx)\n    - About ADP\n      ADP helps organizations of all types and sizes unlock their potential.\n      [Learn About ADP](https:\/\/www.adp.com\/about-adp.aspx)\n    - - [Overview](https:\/\/www.adp.com\/about-adp.aspx)\n      - [Leadership](https:\/\/www.adp.com\/about-adp\/leadership.aspx)\n      - [Corporate Responsibility](https:\/\/www.adp.com\/about-adp\/corporate-social-responsibility.aspx)\n      - [Awards & Recognition](https:\/\/www.adp.com\/about-adp\/awards-and-recognition.aspx)\n      - [Sponsorships](https:\/\/www.adp.com\/about-adp\/ambassadors.aspx)\n      - [Data Security](https:\/\/www.adp.com\/about-adp\/data-security.aspx)\n      - [Data Privacy](https:\/\/www.adp.com\/about-adp\/data-privacy.aspx)\n      - [ADP Ventures](https:\/\/ventures.adp.com\/)\n  - [Why ADP](https:\/\/www.adp.com\/how-we-differ.aspx)\n    - Why ADP\n      Learn why more than 1,000,000 clients rely on ADP and why we’re always designing for people.\n      [Learn Why ADP](https:\/\/www.adp.com\/how-we-differ.aspx)\n  - [Worldwide Locations](https:\/\/www.adp.com\/worldwide-locations.aspx)\n    - Worldwide Locations\n      We provide payroll, global HCM and outsourcing services in more than 140 countries. Whether you operate in multiple countries or just one, we can provide local expertise to support your global workforce strategy.\n      [See All Locations](https:\/\/www.adp.com\/worldwide-locations.aspx)\n  - [Careers](https:\/\/jobs.adp.com\/?rb=ADP_COM)\n    - Careers\n      ADP hires in over 26 countries around the world for a variety of amazing careers. We’re reimagining what it means to work, and doing so in profound ways. At ADP, we say that we’re Always Designing for People, starting with our own.\n    - - [All Open Roles](https:\/\/jobs.adp.com\/?rb=ADP_COM)\n      - [Tech Careers](https:\/\/tech.adp.com\/)\n  - [Investors](https:\/\/investors.adp.com\/)\n    - Investors\n  - [Media](https:\/\/mediacenter.adp.com\/)\n    - Media\n- [Support](https:\/\/www.adp.com\/contact-us\/customer-service.aspx)\n- [Sign In](https:\/\/login.adp.com\/welcome)\n\nSearch Site\n\n- ![](https:\/\/www.adp.com\/-\/media\/adp2022\/ui\/icn-close.svg?rev=cd32a4a6928940b49f4c72ced53a7427&hash=A27B155E4E63DE93679C906099838EAF)\n  I am looking for…\n\n[Support](https:\/\/www.adp.com\/contact-us\/customer-service.aspx) [Sign In](https:\/\/signin.adp.com\/)\n\nResource Center\n\n- [Overview](https:\/\/www.adp.com\/resources.aspx)\n- [Small Business](https:\/\/www.adp.com\/resources\/small-business.aspx)\n- [Midsized & Enterprise Business](https:\/\/www.adp.com\/resources\/midsized-enterprise.aspx)\n- [Tools](https:\/\/www.adp.com\/resources\/tools.aspx)\n- [Webinars & Events](https:\/\/www.adp.com\/resources\/events.aspx)\n- [Testimonials](https:\/\/www.adp.com\/resources\/what-others-say\/testimonials.aspx)\n- [Demos](https:\/\/www.adp.com\/resources\/demos.aspx)\n- [More](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n  - [Webinars & Events](https:\/\/www.adp.com\/resources\/events.aspx)\n  - [Testimonials](https:\/\/www.adp.com\/resources\/what-others-say\/testimonials.aspx)\n  - [Demos](https:\/\/www.adp.com\/resources\/demos.aspx)\n\nTalk to sales **[800-225-5237](tel:8002255237)** [Get Pricing](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\ninsight\n\n# 401(k) contribution limits\n\n- [Retirement Services](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement.aspx)\n- 401(K) Contribution Limits\n\nEvery January brings a reset – new [401(k)](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/401k.aspx) contribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for [compliance](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-compliance.aspx), plan design and [employee engagement](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/e\/employee-engagement.aspx).\n\nTable of Contents\n\n- [What are contribution limits?](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p1)\n- [401(k) contribution limits for 2026](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p2)\n- [Individual retirement account (IRA) contribution limits](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p3)\n- [401(k) contribution limits for 2025](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p4)\n- [Roth 401(k) contribution limits](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p5)\n## What are contribution limits?\nContribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals, [employer matches](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-match.aspx) and plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors.\n\n## 401(k) contribution limits for 2026\nThe 401(k) contribution limits for 2026 cover:\n\n- How much employees can save through elective deferrals\n- How catch-up contributions work for those age 50 and older\n- How employer contributions fit into the total\n\nFor HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of [retirement solutions that integrate with payroll](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-integration.aspx) can help reduce errors and support daily compliance.\n\n### Contribution limits at a glance\nThe table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication.\n\n| **Plan maximum contribution limits** | **2025** | **2026** |\n|---|---|---|\n| Section 401(k) or section 403(b) plan deferral limits | \\$23,500 | \\$24,500 |\n| Catch up contributions for employees age 501 | \\$7,500 | \\$8,000 |\n| Section 408(p)(2)(E) SIMPLE IRA plan | \\$16,500 | \\$17,000 |\n| SIMPLE IRA age 50+ catch up contributions | \\$3,500 | \\$4,000 |\n| Section 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations) | \\$23,500 | \\$24,500 |\n| Section 415 limit for:  Defined contribution plans  Defined benefits plans | \\$70,000  \\$280,000 | \\$72,000  \\$290,000 |\n| Highly compensated employees section 414(q)(1)(B) | \\$160,000 | \\$160,000 |\n| Key employee section 416(i)(1)(A)(i) | \\$230,000 | \\$235,000 |\n| Includible compensation:  Section 401(a)(17)  SEP compensation  SEP earnings threshold | \\$350,000  \\$350,000  \\$750 | \\$360,000  \\$360,000  \\$800 |\n| Section 409 employee stock ownership plan subject to 5-Year distribution period:  Maximum balance  Amount used to determine the lengthening of the 5-year period | \\$1,415,000  \\$280,000 | \\$1,455,000  \\$290,000 |\n\n1 Eligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information.\n\n### Employee contribution limits\n- Maximum elective deferral limit: \\$24,500\n- Applies to the total of pretax and Roth contributions\n- Payroll integration helps stop contributions once the cap is reached\n### Contribution limits over 50\nEmployees aged 50 and older can contribute additional funds beyond the standard limit.\n\n- Standard catch-up limit (age 50+): \\$8,000\n- Super catch-up (ages 60 to 63): \\$11,250\n- Beginning in 2026, [SECURE 2.0](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/secure-2.aspx) requires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above \\$150,000)\n### Employer contribution limits\nEmployers can add to employee savings through matches or profit-sharing.\n\n- Total combined employer and employee contribution limit: the lesser of 100% of compensation or \\$72,000\n- With catch-up included: \\$80,000 (age 50+) and \\$83,250 (age 60 to 63)\n- Options like [safe harbor](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/s\/safe-harbor-401k.aspx) or qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance\n## Individual retirement account (IRA) contribution limits\nIn 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification.\n\nState rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings.\n\n- Traditional and Roth IRA contribution limit (2026): \\$7,500\n- Catch-up contribution (age 50+): \\$1,100\n- Roth IRA eligibility phases out at higher incomes\n## 401(k) contribution limits for 2025\nThe 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement.\n\n- Maximum 401(k) contribution for 2025: \\$23,500 employee deferral\n- Catch-up contribution (age 50+): \\$7,500\n- Super catch-up contribution (ages 60-63): \\$11,250 under SECURE 2.0\n- Total contribution limit: \\$70,000, or \\$77,500+ with catch-up (depending on age and employer contributions)\n\nHR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward.\n\n### Contributions comparison: 2023-2026\n| **Year** | **Employee Deferral** | **Catch-Up (50+)** | **Total Contribution** | **With Catch-Up** |\n|---|---|---|---|---|\n| 2023 | \\$22,500 | \\$7,500 | \\$66,000 | \\$73,500 |\n| 2024 | \\$23,000 | \\$7,500 | \\$69,000 | \\$76,500 |\n| 2025 | \\$23,500 | \\$7,500 (ages 50–59) \/ \\$11,250 (ages 60–63) | \\$70,000 | \\$76,500+ |\n| 2026 | \\$24,500 | \\$8,000 (ages 50–59) \/ \\$11,250 (ages 60–63) | \\$72,000 | \\$80,000 (ages 50+) \/ \\$83,250 (ages 60–63) |\n## Roth 401(k) contribution limits\nThe Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to \\$24,500 in total, whether the contributions are pretax, Roth or a mix of both.\n\nIntegrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic [enrollment](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-employee-enrollment.aspx), managed elections and real-time contribution tracking.\n\n## After-tax 401(k) contribution limits\nAfter-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach \\$72,000, or more when catch-up contributions are included.\n\n### Roth vs. after-tax contributions\nRoth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design.\n\n## Starter 401(k) contribution limits\nStarter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits.\n\n- 2026 contribution limit: \\$6,000\n- Catch-up contribution (age 50+): \\$1,100\n- Limits are closer to IRA contribution levels\n## Limits for highly compensated employees\nHighly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning \\$160,000 or more.\n\nIf a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit.\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/articles-revamp\/401k-for-small-business-owners\/401ksmallbusiness_cta1_300w_en.jpg?rev=a1e0dfc767c94daf97204fb6e7ecb9dd&hash=BE1BDE989D18939B433C0FA3B5D8DBF4)\n\nHelp your people plan for peace of mind\n\nGet simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP.\n\nGet Started\n\n[Learn more about ADP's 401(k) plans](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/401k.aspx#tab-5cba89de-c47d-4a47-97ff-7fd90d1f7762-0)\n## Frequently asked questions\nHow much should an employer contribute to a 401k?\n\nExcess contributions must be corrected by the plan’s deadline, usually April 15 of the following year. If not, the excess may be taxed twice — once when contributed and again when withdrawn.\n\nADP’s integrated payroll and retirement systems can help prevent this situation by automatically capping contributions at the IRS limit.\n\nHow much should you contribute to your 401(k)?\n\nThere isn’t a single number that works for everyone. Many employees aim to contribute enough to get the full employer match, then increase contributions as budgets allow.\n\nIf additional contribution guidance is needed, employers can use resources within ADP’s retirement solutions to help employees make informed decisions.\n\nShould I max out my 401(k)?\n\nMaxing out works well for some employees, but others may prefer to balance 401(k) savings with IRAs or other financial goals. For more educational resources explaining contribution strategies in the simplest terms, employers can turn to ADP’s [retirement plan services](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement.aspx).\n\nWhat is the 401(k) catch-up limit for 2025?\n\nIn 2026, employees age 50 and older can contribute an additional \\$8,000. Those ages 60–63 qualify for a higher “super catch-up” of \\$11,250. Beginning in 2026, high earners must make all catch-up contributions on a Roth basis.\n\n![Chris Magno](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/authors\/author-chris-magno-250w.jpg?rev=ea81fd9afc6b4aec9d787f4e1e33fe54&la=en&h=250&w=250&hash=EEF041BA74BDC28C20729ABF89C19FB1)\n\n[Chris Magno](https:\/\/www.adp.com\/resources\/authors\/c\/chris-magno.aspx)  Senior Vice President, General Manager, ADP Retirement Services Chris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies.\n\nWant more exclusive business insights like this delivered to your inbox?[Subscribe now](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\n*M-816042-2025-10-08*\n\n*ADP Inc. owns and operates the [ADP.com](https:\/\/www.adp.com\/) website. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member [FINRA](https:\/\/www.finra.org\/), an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and\/or investment options available in any ADP retirement products.*\n\n### Drive employee engagement with flexible retirement options\n[Get Started](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx) [Learn More](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement.aspx)\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/articles-revamp\/setting-up-a-401k\/settingupa401k_rightrail_426w_en.jpg?rev=3da3a90359984a39a97ccefbf8cc788e&hash=47FEBF0C4DC5BD2A8B46759804602683)\n\n## Find the retirement plan that's right for your business\nPartner with ADP Retirement Services to access a team of dedicated retirement professionals who will help you review and understand your options.\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/articles-revamp\/401k-for-small-business-owners\/401ksmallbusiness-icon1.svg?rev=fa571e0056ff468ebfad94438731a640&la=en&hash=CC565A2DE6A5FDCE88439C1C39312899)\n\nSee our retirement services\n\nKeep employees engaged and informed with our advanced technology and easy administration.\n\n[Launch demo](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/articles-revamp\/401k-for-small-business-owners\/401ksmallbusiness-icon2.svg?rev=329aa6fe944b4c228aa8def1364846a0&la=en&hash=C9D06C68B3DE076E934BDC3377B3696A)\n\n401(k) plans for every business\n\nSee how ADP can help you create a retirement plan that is smart and easy for your business.\n\n[Explore plans](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/401k.aspx#tab-5cba89de-c47d-4a47-97ff-7fd90d1f7762-0)\n\nGet Started\n\nRelated resources\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/rh2\/images\/insight\/thumb\/resourcecard_retirementstrategies_586w_en.jpg?rev=d4911e6bd70548a88c3333981873abaf&la=en&h=294&w=586&hash=A4232B1553BB20DE5A7A3E044866FEAD)\n\ninsight\n\n## Retirement strategies\n\n[Read now](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/r\/retirement-strategies.aspx)\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/rh2\/images\/insight\/thumb\/401kforfeituresthumbnail586wen.jpg?rev=b681149a068545dba47537f6eb121876&la=en&h=294&w=586&hash=F358B047528D92C6506D820B859E7A40)\n\ninsight\n\n## 401(k) forfeiture accounts\n\n[Read now](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-forfeiture.aspx)\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/rh2\/images\/insight\/thumb\/smallbusinessretirementplans_thumbnail.jpg?rev=f94f98b31e35499a9cdaab906c367863&la=en&h=294&w=586&hash=F91C411B39D428A6845433E38C2EC498)\n\ninsight\n\n## Retirement plan examples for small businesses\n\n[Read now](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/s\/small-business-retirement-plans.aspx)\n\n## Get pricing specific to your business\nYour [privacy](https:\/\/www.adp.com\/privacy.aspx) is assured.\n\nClose Modal\n\nStay up to date\n\nGet exclusive business insights delivered straight to your inbox.\n\nYour [privacy](https:\/\/www.adp.com\/privacy.aspx) is assured.\n\nClose Modal\n\n- [Contact Us](https:\/\/www.adp.com\/contact-us\/customer-service.aspx)\n- [Talk to Sales — 800-225-5237](tel:8002255237)\n- [Get Support](https:\/\/www.adp.com\/contact-us\/customer-service.aspx)\n- [Sign In](https:\/\/signin.adp.com\/)\n\n- [What We Offer](https:\/\/www.adp.com\/what-we-offer.aspx)\n  - [Payroll](https:\/\/www.adp.com\/what-we-offer\/payroll.aspx)\n  - [Time and Attendance](https:\/\/www.adp.com\/what-we-offer\/time-and-attendance.aspx)\n  - [Talent](https:\/\/www.adp.com\/what-we-offer\/talent.aspx)\n  - [Benefits](https:\/\/www.adp.com\/what-we-offer\/benefits.aspx)\n  - [HR Services](https:\/\/www.adp.com\/what-we-offer\/hr-services.aspx)\n  - [HR Outsourcing and PEO](https:\/\/www.adp.com\/what-we-offer\/hr-outsourcing-and-peo.aspx)\n  - [Integrations](https:\/\/www.adp.com\/what-we-offer\/integrations.aspx)\n  - [App Marketplace](https:\/\/www.adp.com\/what-we-offer\/marketplace.aspx)\n  - [Products by Name](https:\/\/www.adp.com\/what-we-offer\/products.aspx)\n\n- [Who We Serve](https:\/\/www.adp.com\/who-we-serve.aspx)\n  - [Business Size](https:\/\/www.adp.com\/who-we-serve\/by-business-size.aspx)\n  - [Industries](https:\/\/www.adp.com\/who-we-serve\/by-industry.aspx)\n  - [Partners](https:\/\/www.adp.com\/who-we-serve\/by-partner.aspx)\n\n- [Resources](https:\/\/www.adp.com\/resources.aspx)\n  - [Small Business Resources](https:\/\/www.adp.com\/resources\/small-business.aspx)\n  - [Midsized & Enterprise Business Resources](https:\/\/www.adp.com\/resources\/midsized-enterprise.aspx)\n  - [Tools](https:\/\/www.adp.com\/resources\/tools.aspx)\n  - [Webinars & Events](https:\/\/www.adp.com\/resources\/events.aspx)\n\n- [About ADP](https:\/\/www.adp.com\/about-adp.aspx)\n  - [Worldwide Locations](https:\/\/www.adp.com\/worldwide-locations.aspx)\n  - [Careers](https:\/\/jobs.adp.com\/?rb=ADP_COM)\n  - [Corporate Social Responsibility](https:\/\/www.adp.com\/about-adp\/corporate-social-responsibility.aspx)\n  - [Awards and Recognition](https:\/\/www.adp.com\/about-adp\/awards-and-recognition.aspx)\n  - [Leadership](https:\/\/www.adp.com\/about-adp\/leadership.aspx)\n  - [Data Security](https:\/\/www.adp.com\/about-adp\/data-security.aspx)\n  - [Data Privacy](https:\/\/www.adp.com\/about-adp\/data-privacy.aspx)\n  - [Artificial Intelligence](https:\/\/www.adp.com\/what-we-offer\/ai-solutions.aspx)\n  - [ADP Ventures](https:\/\/ventures.adp.com\/)\n  - [Investors](https:\/\/investors.adp.com\/)\n  - [Media](https:\/\/mediacenter.adp.com\/)\n\n[![logo](https:\/\/www.adp.com\/-\/media\/adp\/redesign2018\/ui\/logo-adp-fy19.svg?rev=0769ecbf84a9412a93e2cd52b7319a13&hash=C2451A542096BF16BC40698417D5A6FD)](https:\/\/www.adp.com\/)\n\n[All Worldwide Locations](https:\/\/www.adp.com\/worldwide-locations.aspx)\n\n- [ADP Facebook Page](https:\/\/www.facebook.com\/AutomaticDataProcessing\/)\n- [ADP X (Twitter) Page](https:\/\/twitter.com\/adp)\n- [ADP YouTube Channel](https:\/\/www.youtube.com\/user\/adp)\n- [ADP LinkedIn Page](https:\/\/www.linkedin.com\/company\/adp)\n\n- [Terms](https:\/\/www.adp.com\/legal.aspx)\n- [Site Map](https:\/\/www.adp.com\/site-map.aspx)\n- [Privacy](https:\/\/www.adp.com\/privacy.aspx)\n- [Modern Slavery Statement](https:\/\/www.adp.com\/modern-slavery-statement.aspx)\n- [Web Accessibility Statement](https:\/\/www.adp.com\/web-accessibility-statement.aspx)\n\nADP and the ADP logo are registered trademarks of ADP, Inc. All other marks are the property of their respective owners. Copyright © 2026 ADP, Inc.\n\nAutomatic Data Processing Insurance Agency, Inc. (ADPIA) is an affiliate of ADP, Inc. All insurance products will be offered and sold only through Automatic Data Processing Insurance Agency, Inc., its licensed agents or its licensed insurance partners; 1 ADP Blvd., Roseland, NJ 07068. CA license \\#0D04044. Licensed in 50 states. Certain services may not be available in all states.\n\n[Talk to Sales](<tel:\\<a href=\"tel:8002255237\"\\>800-225-5237\\<\/a\\>>) [Call Support](tel:18442275237)\n\n![](https:\/\/www.adp.com\/-\/media\/adp2025\/ui\/icn-nav-call.svg?rev=2b45138dde9b44368b7aaf34bf652ce0&hash=F82797CC6571BEA58E0596142F478AAD)Call\n\n[![](https:\/\/www.adp.com\/-\/media\/adp2025\/ui\/icn-nav-chat.svg?rev=d7c44f6f841b40e4b856fbd0d3d9baa5&hash=ED53F012A6ECBF2AA19D98B9CA076F74)Chat](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\n![](https:\/\/www.adp.com\/-\/media\/adp2025\/ui\/icn-nav-search.svg?rev=9b682a2d54ba455085d5be82ce9e23b5&hash=B7F3B58F393A98F27F4678D1C1676DD3)Search\n\n[![](https:\/\/www.adp.com\/-\/media\/adp2025\/ui\/icn-nav-login.svg?rev=859ed006f02f489c81e1aff184ff58ed&hash=A246F6DF5E97A375585208326F669BA7)Sign In](https:\/\/signin.adp.com\/)\n\nClose Message\n\nHi there, what brings you here today?\n\nCookie settings\n\n![](https:\/\/myadp.my.site.com\/ESWADPAssist1761568078940vforcesite\/sfsites\/c\/resource\/adpAssistChatLogo)","attrs_readable_markdown":"insight\n\n- [Retirement Services](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement.aspx)\n- 401(K) Contribution Limits\n\nEvery January brings a reset – new [401(k)](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/401k.aspx) contribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for [compliance](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-compliance.aspx), plan design and [employee engagement](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/e\/employee-engagement.aspx).\n\nTable of Contents\n\n- [What are contribution limits?](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p1)\n- [401(k) contribution limits for 2026](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p2)\n- [Individual retirement account (IRA) contribution limits](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p3)\n- [401(k) contribution limits for 2025](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p4)\n- [Roth 401(k) contribution limits](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx#p5)\n## What are contribution limits?\nContribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals, [employer matches](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-match.aspx) and plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors.\n\n## 401(k) contribution limits for 2026\nThe 401(k) contribution limits for 2026 cover:\n\n- How much employees can save through elective deferrals\n- How catch-up contributions work for those age 50 and older\n- How employer contributions fit into the total\n\nFor HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of [retirement solutions that integrate with payroll](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-integration.aspx) can help reduce errors and support daily compliance.\n\n### Contribution limits at a glance\nThe table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication.\n\n| **Plan maximum contribution limits** | **2025** | **2026** |\n|---|---|---|\n| Section 401(k) or section 403(b) plan deferral limits | \\$23,500 | \\$24,500 |\n| Catch up contributions for employees age 501 | \\$7,500 | \\$8,000 |\n| Section 408(p)(2)(E) SIMPLE IRA plan | \\$16,500 | \\$17,000 |\n| SIMPLE IRA age 50+ catch up contributions | \\$3,500 | \\$4,000 |\n| Section 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations) | \\$23,500 | \\$24,500 |\n| Section 415 limit for:  Defined contribution plans  Defined benefits plans | \\$70,000  \\$280,000 | \\$72,000  \\$290,000 |\n| Highly compensated employees section 414(q)(1)(B) | \\$160,000 | \\$160,000 |\n| Key employee section 416(i)(1)(A)(i) | \\$230,000 | \\$235,000 |\n| Includible compensation:  Section 401(a)(17)  SEP compensation  SEP earnings threshold | \\$350,000  \\$350,000  \\$750 | \\$360,000  \\$360,000  \\$800 |\n| Section 409 employee stock ownership plan subject to 5-Year distribution period:  Maximum balance  Amount used to determine the lengthening of the 5-year period | \\$1,415,000  \\$280,000 | \\$1,455,000  \\$290,000 |\n\n1 Eligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information.\n\n### Employee contribution limits\n- Maximum elective deferral limit: \\$24,500\n- Applies to the total of pretax and Roth contributions\n- Payroll integration helps stop contributions once the cap is reached\n### Contribution limits over 50\nEmployees aged 50 and older can contribute additional funds beyond the standard limit.\n\n- Standard catch-up limit (age 50+): \\$8,000\n- Super catch-up (ages 60 to 63): \\$11,250\n- Beginning in 2026, [SECURE 2.0](https:\/\/www.adp.com\/what-we-offer\/benefits\/retirement\/secure-2.aspx) requires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above \\$150,000)\n### Employer contribution limits\nEmployers can add to employee savings through matches or profit-sharing.\n\n- Total combined employer and employee contribution limit: the lesser of 100% of compensation or \\$72,000\n- With catch-up included: \\$80,000 (age 50+) and \\$83,250 (age 60 to 63)\n- Options like [safe harbor](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/s\/safe-harbor-401k.aspx) or qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance\n## Individual retirement account (IRA) contribution limits\nIn 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification.\n\nState rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings.\n\n- Traditional and Roth IRA contribution limit (2026): \\$7,500\n- Catch-up contribution (age 50+): \\$1,100\n- Roth IRA eligibility phases out at higher incomes\n## 401(k) contribution limits for 2025\nThe 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement.\n\n- Maximum 401(k) contribution for 2025: \\$23,500 employee deferral\n- Catch-up contribution (age 50+): \\$7,500\n- Super catch-up contribution (ages 60-63): \\$11,250 under SECURE 2.0\n- Total contribution limit: \\$70,000, or \\$77,500+ with catch-up (depending on age and employer contributions)\n\nHR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward.\n\n### Contributions comparison: 2023-2026\n| **Year** | **Employee Deferral** | **Catch-Up (50+)** | **Total Contribution** | **With Catch-Up** |\n|---|---|---|---|---|\n| 2023 | \\$22,500 | \\$7,500 | \\$66,000 | \\$73,500 |\n| 2024 | \\$23,000 | \\$7,500 | \\$69,000 | \\$76,500 |\n| 2025 | \\$23,500 | \\$7,500 (ages 50–59) \/ \\$11,250 (ages 60–63) | \\$70,000 | \\$76,500+ |\n| 2026 | \\$24,500 | \\$8,000 (ages 50–59) \/ \\$11,250 (ages 60–63) | \\$72,000 | \\$80,000 (ages 50+) \/ \\$83,250 (ages 60–63) |\n## Roth 401(k) contribution limits\nThe Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to \\$24,500 in total, whether the contributions are pretax, Roth or a mix of both.\n\nIntegrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic [enrollment](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-employee-enrollment.aspx), managed elections and real-time contribution tracking.\n\n## After-tax 401(k) contribution limits\nAfter-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach \\$72,000, or more when catch-up contributions are included.\n\n### Roth vs. after-tax contributions\nRoth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design.\n\n## Starter 401(k) contribution limits\nStarter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits.\n\n- 2026 contribution limit: \\$6,000\n- Catch-up contribution (age 50+): \\$1,100\n- Limits are closer to IRA contribution levels\n## Limits for highly compensated employees\nHighly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning \\$160,000 or more.\n\nIf a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit.\n\n![](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/articles-revamp\/401k-for-small-business-owners\/401ksmallbusiness_cta1_300w_en.jpg?rev=a1e0dfc767c94daf97204fb6e7ecb9dd&hash=BE1BDE989D18939B433C0FA3B5D8DBF4)\n\nHelp your people plan for peace of mind\n\nGet simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP.\n## Frequently asked questions\n![Chris Magno](https:\/\/www.adp.com\/-\/media\/adp\/resourcehub\/images\/authors\/author-chris-magno-250w.jpg?rev=ea81fd9afc6b4aec9d787f4e1e33fe54&la=en&h=250&w=250&hash=EEF041BA74BDC28C20729ABF89C19FB1)\n\n[Chris Magno](https:\/\/www.adp.com\/resources\/authors\/c\/chris-magno.aspx)  Senior Vice President, General Manager, ADP Retirement Services Chris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies.\n\nWant more exclusive business insights like this delivered to your inbox?[Subscribe now](https:\/\/www.adp.com\/resources\/articles-and-insights\/articles\/4\/401k-contribution-limits.aspx)\n\n*M-816042-2025-10-08*\n\n*ADP Inc. owns and operates the [ADP.com](https:\/\/www.adp.com\/) website. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member [FINRA](https:\/\/www.finra.org\/), an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and\/or investment options available in any ADP retirement products.*","meta_canonical":null}

3. Robots.txt Check

Query:

Response:

4. Spam/Ban Check

Query:

Response:

5. Seen Status Check

ℹ️ Skipped - page is already crawled

📄

INDEXABLE

✅

CRAWLED

9 days ago

🤖

ROBOTS ALLOWED

Page Info Filters

Filter	Status	Condition	Details
HTTP status	PASS	`download_http_code = 200`	HTTP 200
Age cutoff	PASS	`download_stamp > now() - 6 MONTH`	0.3 months ago
History drop	PASS	`isNull(history_drop_reason)`	No drop reason
Spam/ban	PASS	`fh_dont_index != 1 AND ml_spam_score = 0`	ml_spam_score=0
Canonical	PASS	`meta_canonical IS NULL OR = '' OR = src_unparsed`	Not set

Page Details

Property	Value
URL	https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx
Last Crawled	2026-04-01 19:52:53 (9 days ago)
First Indexed	2025-11-23 15:51:41 (4 months ago)
HTTP Status Code	200
Meta Title	401(k) Contribution Limits \|2026, 2025 and Earlier \| ADP
Meta Description	2026 and 2025 401(k) limits explained. A guide for HR and finance leaders to maximize contributions and meet fiduciary requirements.
Meta Canonical	null
Boilerpipe Text	insight Retirement Services 401(K) Contribution Limits Every January brings a reset – new 401(k) contribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for compliance , plan design and employee engagement . Table of Contents What are contribution limits? 401(k) contribution limits for 2026 Individual retirement account (IRA) contribution limits 401(k) contribution limits for 2025 Roth 401(k) contribution limits What are contribution limits? Contribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals, employer matches and plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors. 401(k) contribution limits for 2026 The 401(k) contribution limits for 2026 cover: How much employees can save through elective deferrals How catch-up contributions work for those age 50 and older How employer contributions fit into the total For HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of retirement solutions that integrate with payroll can help reduce errors and support daily compliance. Contribution limits at a glance The table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication. Plan maximum contribution limits 2025 2026 Section 401(k) or section 403(b) plan deferral limits $23,500 $24,500 Catch up contributions for employees age 50 1 $7,500 $8,000 Section 408(p)(2)(E) SIMPLE IRA plan $16,500 $17,000 SIMPLE IRA age 50+ catch up contributions $3,500 $4,000 Section 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations) $23,500 $24,500 Section 415 limit for: Defined contribution plans Defined benefits plans $70,000 $280,000 $72,000 $290,000 Highly compensated employees section 414(q)(1)(B) $160,000 $160,000 Key employee section 416(i)(1)(A)(i) $230,000 $235,000 Includible compensation: Section 401(a)(17) SEP compensation SEP earnings threshold $350,000 $350,000 $750 $360,000 $360,000 $800 Section 409 employee stock ownership plan subject to 5-Year distribution period: Maximum balance Amount used to determine the lengthening of the 5-year period $1,415,000 $280,000 $1,455,000 $290,000 1 Eligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information. Employee contribution limits Maximum elective deferral limit: $24,500 Applies to the total of pretax and Roth contributions Payroll integration helps stop contributions once the cap is reached Contribution limits over 50 Employees aged 50 and older can contribute additional funds beyond the standard limit. Standard catch-up limit (age 50+): $8,000 Super catch-up (ages 60 to 63): $11,250 Beginning in 2026, SECURE 2.0 requires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above $150,000) Employer contribution limits Employers can add to employee savings through matches or profit-sharing. Total combined employer and employee contribution limit: the lesser of 100% of compensation or $72,000 With catch-up included: $80,000 (age 50+) and $83,250 (age 60 to 63) Options like safe harbor or qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance Individual retirement account (IRA) contribution limits In 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification. State rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings. Traditional and Roth IRA contribution limit (2026): $7,500 Catch-up contribution (age 50+): $1,100 Roth IRA eligibility phases out at higher incomes 401(k) contribution limits for 2025 The 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement. Maximum 401(k) contribution for 2025: $23,500 employee deferral Catch-up contribution (age 50+): $7,500 Super catch-up contribution (ages 60-63): $11,250 under SECURE 2.0 Total contribution limit: $70,000, or $77,500+ with catch-up (depending on age and employer contributions) HR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward. Contributions comparison: 2023-2026 Year Employee Deferral Catch-Up (50+) Total Contribution With Catch-Up 2023 $22,500 $7,500 $66,000 $73,500 2024 $23,000 $7,500 $69,000 $76,500 2025 $23,500 $7,500 (ages 50–59) / $11,250 (ages 60–63) $70,000 $76,500+ 2026 $24,500 $8,000 (ages 50–59) / $11,250 (ages 60–63) $72,000 $80,000 (ages 50+) / $83,250 (ages 60–63) Roth 401(k) contribution limits The Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to $24,500 in total, whether the contributions are pretax, Roth or a mix of both. Integrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic enrollment , managed elections and real-time contribution tracking. After-tax 401(k) contribution limits After-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach $72,000, or more when catch-up contributions are included. Roth vs. after-tax contributions Roth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design. Starter 401(k) contribution limits Starter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits. 2026 contribution limit: $6,000 Catch-up contribution (age 50+): $1,100 Limits are closer to IRA contribution levels Limits for highly compensated employees Highly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning $160,000 or more. If a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit. Help your people plan for peace of mind Get simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP. Frequently asked questions Chris Magno Senior Vice President, General Manager, ADP Retirement Services Chris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies. Want more exclusive business insights like this delivered to your inbox? Subscribe now M-816042-2025-10-08 ADP Inc. owns and operates the ADP.com website. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member FINRA , an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and/or investment options available in any ADP retirement products.
Markdown	[Skip to main content](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#main-content) [Get Pricing](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) [![ADP logo](https://www.adp.com/-/media/adp2025/ui/logo-adp.svg?rev=2ffd0a893eca4842b0f071c1e9c186b8&hash=85D6D9870432E605FE0FD7F830F16744)](https://www.adp.com/) I am looking for… - [What We Offer](https://www.adp.com/what-we-offer.aspx) - [products and services](https://www.adp.com/what-we-offer.aspx) - [Payroll](https://www.adp.com/what-we-offer/payroll.aspx) [Small Business Payroll (1-49 Employees)](https://www.adp.com/what-we-offer/payroll/payroll-for-1-49-employees.aspx) [Midsized to Enterprise Payroll (50-1,000+ Employees)](https://www.adp.com/what-we-offer/payroll/payroll-for-50-1000-plus-employees.aspx) [![](https://www.adp.com/-/media/adp/refresh2025/images/misc/navpromo_runproductscreen.png?rev=6b3e75497a62473fa94e742836118e66&hash=264EA297C8FD47547A7480656DD25AB0) Compare Packages Find the package that's right for your business.](https://www.adp.com/what-we-offer/payroll/payroll-for-1-49-employees/payroll-packages.aspx?segmenter-force=yes) - Products & Services - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_timescheduling.svg?rev=97de4f626e144a08a87f5362b6ec10c1&hash=E2E64F345E2587B71741B132C7E301A0)[Time & Attendance](https://www.adp.com/what-we-offer/time-and-attendance.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_talent.svg?rev=54eb4edb62c246a087b0933f80e16242&hash=59A436B0F163608C3361C5BEEDE45A16)[Talent](https://www.adp.com/what-we-offer/talent.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_benefits.svg?rev=8de2d18225924c318f422b48fd0dd5e0&hash=38F9D56ED71D99472B30723AC870FB32)[Benefits & Insurance](https://www.adp.com/what-we-offer/benefits.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_hrsupport.svg?rev=6a1862fe818f45ce8bf73d068f0f26bb&hash=26D5E19C51804244118550703339B90E)[PEO & HR Outsourcing](https://www.adp.com/what-we-offer/hr-outsourcing-and-peo/professional-employer-organization.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_taxcompliance.svg?rev=bebed6448d0240d3bf4187bbeded4fae&hash=1471DF919C8061EBBABAD40090BA53CD)[Compliance Services](https://www.adp.com/what-we-offer/products/adp-smartcompliance.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_technology.svg?rev=8b66758e87c74bcba99957d370a08393&hash=959B84EC656C6621BAA051C6EEBABE69)[AI Capabilities](https://www.adp.com/what-we-offer/ai-solutions.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_integrations.svg?rev=eec93fa2e29c45469669dd04192b8142&hash=48325C88EEFAAFDF3B80024A49923F36)[Integrations](https://www.adp.com/what-we-offer/integrations.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_userfriendlytech.svg?rev=c495efd32c414c0fba3c15f1c467ed0f&hash=C778A7E478FF2569049568F6A3EE548E)[App Marketplace](https://www.adp.com/what-we-offer/marketplace.aspx) - ![](https://www.adp.com/-/media/adp/refresh2025/icons/default/adp_icon_flexibility.svg?rev=e352e86fc00d44a0ac48db37ad33da62&hash=EC2CCFC2E969C02080BE1617F6965F6A)[Products by Name](https://www.adp.com/what-we-offer/products.aspx) - [Payroll](https://www.adp.com/what-we-offer/payroll.aspx) - Payroll Fast, easy, accurate payroll and tax, so you can save time and money. [Payroll Overview](https://www.adp.com/what-we-offer/payroll.aspx) - - [Overview](https://www.adp.com/what-we-offer/payroll.aspx) - [Small Business Payroll (1-49 Employees)](https://www.adp.com/what-we-offer/payroll/payroll-for-1-49-employees.aspx) - [Midsized to Enterprise Payroll (50-1,000+ Employees)](https://www.adp.com/what-we-offer/payroll/payroll-for-50-1000-plus-employees.aspx) - [Compare Packages Find the package that's right for your business. ![](https://www.adp.com/-/media/adp/refresh2025/shared/misc/comparepackage_navigation_257w_en.jpg?rev=a0b18990f4b14fcbbc7780c375c6fb94&hash=F41789D6B8F45657BCBC98164344D83F)](https://www.adp.com/what-we-offer/payroll/payroll-for-1-49-employees/payroll-packages.aspx?segmenter-force=yes) - [Time & Attendance](https://www.adp.com/what-we-offer/time-and-attendance.aspx) - Time & Attendance Manage labor costs and compliance with easy time & attendance tools. For advanced capabilities, workforce management adds optimized scheduling, labor forecasting/budgeting, attendance policy, leave case management and more. - - [Overview](https://www.adp.com/what-we-offer/time-and-attendance.aspx) - [Time & Attendance](https://www.adp.com/what-we-offer/time-and-attendance.aspx) - [Workforce Management](https://www.adp.com/what-we-offer/time-and-attendance/workforce-management.aspx) - [Talent](https://www.adp.com/what-we-offer/talent.aspx) - Talent From recruitment to retirement, getting the very best out of your people. [Talent Overview](https://www.adp.com/what-we-offer/talent.aspx) - - [Overview](https://www.adp.com/what-we-offer/talent.aspx) - [Recruiting & Hiring](https://www.adp.com/what-we-offer/talent/talent-acquisition.aspx) - [Talent Management & Activation](https://www.adp.com/what-we-offer/talent/talent-management.aspx) - [Employee Experience](https://www.adp.com/what-we-offer/hr-services/employee-experience.aspx) - [Benefits & Insurance](https://www.adp.com/what-we-offer/benefits.aspx) - Benefits & Insurance Employee benefits, flexible administration, business insurance, and retirement plans. [Benefits Overview](https://www.adp.com/what-we-offer/benefits.aspx) - - [Overview](https://www.adp.com/what-we-offer/benefits.aspx) - [Benefits Administration](https://www.adp.com/what-we-offer/benefits/benefits-administration.aspx) - [Retirement Plans](https://www.adp.com/what-we-offer/benefits/retirement.aspx) - [Group Health Insurance](https://www.adp.com/what-we-offer/benefits/group-health-insurance.aspx) - [Business Insurance](https://www.adp.com/what-we-offer/benefits/business-insurance.aspx) - [Workers’ Compensation Insurance](https://www.adp.com/what-we-offer/benefits/business-insurance/workers-compensation.aspx) - [PEO & HR Outsourcing](https://www.adp.com/what-we-offer/hr-outsourcing-and-peo/professional-employer-organization.aspx) - PEO & HR Outsourcing See how our team of experienced professionals can provide ongoing support for HR, payroll, and more—allowing you to focus on other aspects of your business. - - [PEO (Professional Employer Organization)](https://www.adp.com/what-we-offer/hr-outsourcing-and-peo/professional-employer-organization.aspx) - [HR Outsourcing](https://www.adp.com/what-we-offer/hr-outsourcing-and-peo/outsource-hr-processes.aspx) - [Compliance Services](https://www.adp.com/what-we-offer/products/adp-smartcompliance.aspx) - Compliance Services Simplify and unify your HCM compliance processes. [Compliance Overview](https://www.adp.com/what-we-offer/products/adp-smartcompliance.aspx) - - [Overview](https://www.adp.com/what-we-offer/products/adp-smartcompliance.aspx) - [Business Tax Credits](https://www.adp.com/what-we-offer/products/adp-smartcompliance/employment-tax-credits.aspx) - [Payment Solutions](https://www.adp.com/what-we-offer/products/adp-smartcompliance/wage-payments.aspx) - [Payroll Taxes](https://www.adp.com/what-we-offer/products/adp-smartcompliance/employment-tax.aspx) - [Health Compliance](https://www.adp.com/what-we-offer/products/adp-smartcompliance/health-compliance.aspx) - [Wage Garnishment](https://www.adp.com/what-we-offer/products/adp-smartcompliance/wage-garnishment.aspx) - [Compliance Integrations](https://www.adp.com/what-we-offer/products/adp-smartcompliance/integrations.aspx) - [Unemployment Claims](https://www.adp.com/what-we-offer/products/adp-smartcompliance/unemployment-claims.aspx) - [Employment Verification](https://www.adp.com/what-we-offer/products/adp-smartcompliance/employment-verification.aspx) - [Contractor Management](https://www.adp.com/what-we-offer/products/workmarket.aspx) - [AI Capabilities](https://www.adp.com/what-we-offer/ai-solutions.aspx) - Artificial Intelligence Bring breakthrough AI to your payroll and HR experiences. [AI Overview](https://www.adp.com/what-we-offer/ai-solutions.aspx) - - [Overview](https://www.adp.com/what-we-offer/ai-solutions.aspx) - [AI Capabilities](https://www.adp.com/what-we-offer/ai-solutions/ai-capabilities.aspx) - [Responsible AI](https://www.adp.com/what-we-offer/ai-solutions/responsible-ai.aspx) - [Integrations](https://www.adp.com/what-we-offer/integrations.aspx) - Integrations Quickly connect ADP solutions to popular software, ERPs and other HR systems. [Integrations Overview](https://www.adp.com/what-we-offer/integrations.aspx) - [App Marketplace](https://www.adp.com/what-we-offer/marketplace.aspx) - App Marketplace Our online store for HR apps and more; for customers, partners and developers. - - [App Marketplace](https://www.adp.com/what-we-offer/marketplace.aspx) - [Custom Integrations](https://www.adp.com/what-we-offer/integrations/api-central.aspx) - [Products by Name](https://www.adp.com/what-we-offer/products.aspx) - Products by Name Comprehensive payroll and HR software solutions. [See All Products](https://www.adp.com/what-we-offer/products.aspx) - - [Overview](https://www.adp.com/what-we-offer/products.aspx) - [RUN Powered by ADP®](https://www.adp.com/what-we-offer/products/run-powered-by-adp.aspx) - [ADP TotalSource®](https://www.adp.com/what-we-offer/products/totalsource-peo.aspx) - [ADP Workforce Now®](https://www.adp.com/what-we-offer/products/adp-workforce-now.aspx) - [ADP Lyric HCM](https://www.adp.com/what-we-offer/products/lyric.aspx) - [ADP® Comprehensive Services](https://www.adp.com/what-we-offer/products/adp-comprehensive-services.aspx) - [ADP SmartCompliance®](https://www.adp.com/what-we-offer/products/adp-smartcompliance.aspx) - [Wisely® by ADP](https://www.adp.com/what-we-offer/products/wisely-by-adp.aspx) - [ADP® Global Payroll](https://www.adp.com/what-we-offer/products/adp-global-payroll.aspx) - [ADP® DataCloud](https://www.adp.com/what-we-offer/products/adp-datacloud.aspx) - [Who We Serve](https://www.adp.com/who-we-serve.aspx) - [Overview](https://www.adp.com/who-we-serve.aspx) - Who We Serve See how we help organizations like yours with a wider range of payroll and HR options than any other provider. - [Small Business](https://www.adp.com/who-we-serve/by-business-size/1-49-employees.aspx) - Small Business Businesses with 1-49 employees lean on ADP for simplicity, efficiency and value for their various payroll and HR needs. [Small Business Overview](https://www.adp.com/who-we-serve/by-business-size/1-49-employees.aspx) - [Midsized Business](https://www.adp.com/who-we-serve/by-business-size/50-999-employees.aspx) - Midsized Business Companies with 50-999 employees save time and money by turning to ADP for the adaptable technology and support that helps them meet any payroll or HR challenge. [Midsized Business Overview](https://www.adp.com/who-we-serve/by-business-size/50-999-employees.aspx) - [Large Business](https://www.adp.com/who-we-serve/by-business-size/1000-employees.aspx) - Large Business For over 70 years, ADP has helped enterprise organizations with 1,000+ employees make the most of their people and processes with secure, integrated payroll and HCM solutions. - - [Large Business Overview](https://www.adp.com/who-we-serve/by-business-size/1000-employees.aspx) - [Global HCM](https://www.adp.com/who-we-serve/by-business-size/global.aspx) - [Lyric HCM Empower your organization with a full-suite, HCM solution designed for your rhythms of work. ![](https://www.adp.com/-/media/adp/refresh2025/shared/misc/mainnav_promospot_lyric_205w_en.png?rev=192ae1d9d14e4dc7b09b676be62647cb&hash=D4B326AC24466250B3BED2550E6F7AF0)](https://www.adp.com/what-we-offer/products/lyric.aspx) - [Business Size](https://www.adp.com/who-we-serve/by-business-size.aspx) - Business Size Small, midsized or large, your business has unique needs, from technology to support and everything in between. Learn how we can make your work easier. [See Business Sizes](https://www.adp.com/who-we-serve/by-business-size.aspx) - - [Overview](https://www.adp.com/who-we-serve/by-business-size.aspx) - [1-49 Employees](https://www.adp.com/who-we-serve/by-business-size/1-49-employees.aspx) - [50-999 Employees](https://www.adp.com/who-we-serve/by-business-size/50-999-employees.aspx) - [1000+ Employees](https://www.adp.com/who-we-serve/by-business-size/1000-employees.aspx) - [Industries](https://www.adp.com/who-we-serve/by-industry.aspx) - Industries You face specific challenges that require solutions based on experience. Learn how we can tackle your industry demands together. [See Industries](https://www.adp.com/who-we-serve/by-industry.aspx) - - [Overview](https://www.adp.com/who-we-serve/by-industry.aspx) - [Restaurant / Hospitality](https://www.adp.com/who-we-serve/by-industry/hospitality-restaurant-foodservice.aspx) - [Manufacturing](https://www.adp.com/who-we-serve/by-industry/manufacturing.aspx) - [Professional & Technical Services](https://www.adp.com/who-we-serve/by-industry/professional-technical-services.aspx) - [Construction](https://www.adp.com/who-we-serve/by-industry/construction.aspx) - [Financial Services](https://www.adp.com/who-we-serve/by-industry/financial-services.aspx) - [Retail](https://www.adp.com/who-we-serve/by-industry/retail.aspx) - [Healthcare](https://www.adp.com/who-we-serve/by-industry/healthcare.aspx) - [Government / Education](https://www.adp.com/who-we-serve/by-industry/government-education.aspx) - [Nonproﬁt / Social Services](https://www.adp.com/who-we-serve/by-industry/nonprofit-social-services.aspx) - [Partners](https://www.adp.com/who-we-serve/by-partner.aspx) - Partners Learn how we can make a difference by joining forces to improve the success of the clients we share. [See Partners](https://www.adp.com/who-we-serve/by-partner.aspx) - - [Overview](https://www.adp.com/who-we-serve/by-partner.aspx) - [Accountants](https://www.adp.com/who-we-serve/by-partner/accountants.aspx) - [Brokers](https://www.adp.com/who-we-serve/by-partner/brokers.aspx) - [Financial Advisors](https://www.adp.com/who-we-serve/by-partner/financial-advisors.aspx) - [Private Equity](https://www.adp.com/who-we-serve/by-partner/private-equity.aspx) - [Franchises](https://www.adp.com/who-we-serve/by-partner/franchise-alliances.aspx) - [Member Organizations](https://www.adp.com/who-we-serve/by-partner/member-organizations.aspx) - [Banking Professionals](https://www.adp.com/who-we-serve/by-partner/banking-professionals.aspx) - [Software Providers](https://www.adp.com/who-we-serve/by-partner/software-providers-development.aspx) - [ERPs](https://www.adp.com/who-we-serve/by-partner/enterprise-resource-planning.aspx) - [Embedded Payroll](https://www.adp.com/what-we-offer/products/adp-embedded-payroll.aspx) - [Why ADP](https://www.adp.com/how-we-differ.aspx) - [Resources](https://www.adp.com/resources.aspx) - [Overview](https://www.adp.com/resources.aspx) - [Small Business](https://www.adp.com/resources/small-business.aspx) - Resource Center Take your organization to the next level with tools and resources that help you work smarter, regardless of your business’s size and goals. [Resources Overview](https://www.adp.com/resources.aspx) - [![ADP Research](https://www.adp.com/-/media/adp/reskin2022/images/shared/adp_ri_logo_color_en_nav_promo.svg?rev=13dbdefc6a074342a61c9315cb0a610b&hash=C1A586545CFDC2B6F1DA26FC0A50C83C) Discover the latest Today at Work insights from ADP Research](https://www.adpri.org/today-at-work) [Your guide to the One Big Beautiful Bill Act ![Your guide to the One Big Beautiful Bill Act](https://www.adp.com/-/media/adp/refresh2025/images/resources/big-beautiful-bill/nav_promo_no_bg.png?rev=9d5d92d429f94068b4e750ceac14c575&hash=0AAA0FA454244FE223B62705E2C5EF2E)](https://www.adp.com/resources/big-beautiful-bill.aspx) - Small Business Resources Discover a wealth of knowledge to help you tackle payroll, HR and benefits, and compliance. [View Resources](https://www.adp.com/resources/small-business.aspx) - - [Overview](https://www.adp.com/resources/small-business.aspx) - [Paying Your People](https://www.adp.com/resources/small-business/paying-people.aspx) - [Maintaining Compliance](https://www.adp.com/resources/small-business/compliance.aspx) - [Recruiting & Hiring](https://www.adp.com/resources/small-business/recruiting-hiring.aspx) - [Outsourcing HR](https://www.adp.com/resources/small-business/outsourcing.aspx) - [Midsized & Enterprise Business](https://www.adp.com/resources/midsized-enterprise.aspx) - Midsized & Enterprise Business Resources Tap into a wealth of knowledge designed to simplify complex tasks and encourage strategic decisions across key functions. [View Resources](https://www.adp.com/resources/midsized-enterprise.aspx) - - [Overview](https://www.adp.com/resources/midsized-enterprise.aspx) - [Evaluating HCM](https://www.adp.com/resources/midsized-enterprise/human-capital-management.aspx) - [Paying Your People](https://www.adp.com/resources/midsized-enterprise/paying-people.aspx) - [Maintaining Compliance](https://www.adp.com/resources/midsized-enterprise/compliance.aspx) - [Managing Your Workforce](https://www.adp.com/resources/midsized-enterprise/workforce-management.aspx) - [Paycheck Protection Program Guide](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) - [Diversity, Equity & Inclusion Toolkit](https://www.adp.com/resources/diversity-equity-and-inclusion.aspx) - [Tools](https://www.adp.com/resources/tools.aspx) - Tools Find payroll and retirement calculators, plus tax and compliance resources. [See All Tools](https://www.adp.com/resources/tools.aspx) - - [Overview](https://www.adp.com/resources/tools.aspx) - [Calculators](https://www.adp.com/resources/tools/calculators.aspx) - [Tax Guides & Forms](https://www.adp.com/resources/tools/tax-guides-and-forms.aspx) - [Glossary](https://www.adp.com/resources/tools/glossary.aspx) - [Webinars & Events](https://www.adp.com/resources/events.aspx) - Webinars and Events Attend webinars or find out where and when we can connect at in-person events. [See Webinars & Events](https://www.adp.com/resources/events.aspx) - [Testimonials](https://www.adp.com/resources/what-others-say/testimonials.aspx#sort=%40updated%20descending) - Testimonials Don’t take our word for it. Discover what others say about us. [See Testimonials](https://www.adp.com/resources/what-others-say/testimonials.aspx#sort=%40updated%20descending) - [Demos](https://www.adp.com/resources/demos.aspx) - Demos Discover how easy and intuitive it is to use our solutions. [See Demos](https://www.adp.com/resources/demos.aspx) - [SPARK Blog](https://www.adp.com/spark.aspx) - SPARK Blog Read the latest news, stories, insights and tips to help you ignite the power of your people. [View Blog](https://www.adp.com/spark.aspx) - [ADP Research](https://www.adpri.org/) - ADP Research Access the definitive source for exclusive data-driven insights on today’s working world. [Overview](https://www.adpri.org/) - [What Others Say](https://www.adp.com/resources/what-others-say.aspx) - What Others Say Don’t just take our word for it. Discover what others say about us. [See What Others Say](https://www.adp.com/resources/what-others-say.aspx) - - [Overview](https://www.adp.com/resources/what-others-say.aspx) - [Testimonials](https://www.adp.com/resources/what-others-say/testimonials.aspx) - [Product Reviews](https://www.adp.com/resources/what-others-say/reviews.aspx) - [Awards](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) - [Analyst Reports](https://www.adp.com/resources/what-others-say/analyst-reports.aspx) - [About](https://www.adp.com/about-adp.aspx) - [Overview](https://www.adp.com/about-adp.aspx) - About ADP ADP helps organizations of all types and sizes unlock their potential. [Learn About ADP](https://www.adp.com/about-adp.aspx) - [About ADP](https://www.adp.com/about-adp.aspx) - About ADP ADP helps organizations of all types and sizes unlock their potential. [Learn About ADP](https://www.adp.com/about-adp.aspx) - - [Overview](https://www.adp.com/about-adp.aspx) - [Leadership](https://www.adp.com/about-adp/leadership.aspx) - [Corporate Responsibility](https://www.adp.com/about-adp/corporate-social-responsibility.aspx) - [Awards & Recognition](https://www.adp.com/about-adp/awards-and-recognition.aspx) - [Sponsorships](https://www.adp.com/about-adp/ambassadors.aspx) - [Data Security](https://www.adp.com/about-adp/data-security.aspx) - [Data Privacy](https://www.adp.com/about-adp/data-privacy.aspx) - [ADP Ventures](https://ventures.adp.com/) - [Why ADP](https://www.adp.com/how-we-differ.aspx) - Why ADP Learn why more than 1,000,000 clients rely on ADP and why we’re always designing for people. [Learn Why ADP](https://www.adp.com/how-we-differ.aspx) - [Worldwide Locations](https://www.adp.com/worldwide-locations.aspx) - Worldwide Locations We provide payroll, global HCM and outsourcing services in more than 140 countries. Whether you operate in multiple countries or just one, we can provide local expertise to support your global workforce strategy. [See All Locations](https://www.adp.com/worldwide-locations.aspx) - [Careers](https://jobs.adp.com/?rb=ADP_COM) - Careers ADP hires in over 26 countries around the world for a variety of amazing careers. We’re reimagining what it means to work, and doing so in profound ways. At ADP, we say that we’re Always Designing for People, starting with our own. - - [All Open Roles](https://jobs.adp.com/?rb=ADP_COM) - [Tech Careers](https://tech.adp.com/) - [Investors](https://investors.adp.com/) - Investors - [Media](https://mediacenter.adp.com/) - Media - [Support](https://www.adp.com/contact-us/customer-service.aspx) - [Sign In](https://login.adp.com/welcome) Search Site - ![](https://www.adp.com/-/media/adp2022/ui/icn-close.svg?rev=cd32a4a6928940b49f4c72ced53a7427&hash=A27B155E4E63DE93679C906099838EAF) I am looking for… [Support](https://www.adp.com/contact-us/customer-service.aspx) [Sign In](https://signin.adp.com/) Resource Center - [Overview](https://www.adp.com/resources.aspx) - [Small Business](https://www.adp.com/resources/small-business.aspx) - [Midsized & Enterprise Business](https://www.adp.com/resources/midsized-enterprise.aspx) - [Tools](https://www.adp.com/resources/tools.aspx) - [Webinars & Events](https://www.adp.com/resources/events.aspx) - [Testimonials](https://www.adp.com/resources/what-others-say/testimonials.aspx) - [Demos](https://www.adp.com/resources/demos.aspx) - [More](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) - [Webinars & Events](https://www.adp.com/resources/events.aspx) - [Testimonials](https://www.adp.com/resources/what-others-say/testimonials.aspx) - [Demos](https://www.adp.com/resources/demos.aspx) Talk to sales [800-225-5237](tel:8002255237) [Get Pricing](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) insight # 401(k) contribution limits - [Retirement Services](https://www.adp.com/what-we-offer/benefits/retirement.aspx) - 401(K) Contribution Limits Every January brings a reset – new [401(k)](https://www.adp.com/what-we-offer/benefits/retirement/401k.aspx) contribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for [compliance](https://www.adp.com/resources/articles-and-insights/articles/4/401k-compliance.aspx), plan design and [employee engagement](https://www.adp.com/resources/articles-and-insights/articles/e/employee-engagement.aspx). Table of Contents - [What are contribution limits?](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p1) - [401(k) contribution limits for 2026](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p2) - [Individual retirement account (IRA) contribution limits](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p3) - [401(k) contribution limits for 2025](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p4) - [Roth 401(k) contribution limits](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p5) ## What are contribution limits? Contribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals, [employer matches](https://www.adp.com/resources/articles-and-insights/articles/4/401k-match.aspx) and plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors. ## 401(k) contribution limits for 2026 The 401(k) contribution limits for 2026 cover: - How much employees can save through elective deferrals - How catch-up contributions work for those age 50 and older - How employer contributions fit into the total For HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of [retirement solutions that integrate with payroll](https://www.adp.com/resources/articles-and-insights/articles/4/401k-integration.aspx) can help reduce errors and support daily compliance. ### Contribution limits at a glance The table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication. \| Plan maximum contribution limits \| 2025 \| 2026 \| \|---\|---\|---\| \| Section 401(k) or section 403(b) plan deferral limits \| \$23,500 \| \$24,500 \| \| Catch up contributions for employees age 501 \| \$7,500 \| \$8,000 \| \| Section 408(p)(2)(E) SIMPLE IRA plan \| \$16,500 \| \$17,000 \| \| SIMPLE IRA age 50+ catch up contributions \| \$3,500 \| \$4,000 \| \| Section 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations) \| \$23,500 \| \$24,500 \| \| Section 415 limit for: Defined contribution plans Defined benefits plans \| \$70,000 \$280,000 \| \$72,000 \$290,000 \| \| Highly compensated employees section 414(q)(1)(B) \| \$160,000 \| \$160,000 \| \| Key employee section 416(i)(1)(A)(i) \| \$230,000 \| \$235,000 \| \| Includible compensation: Section 401(a)(17) SEP compensation SEP earnings threshold \| \$350,000 \$350,000 \$750 \| \$360,000 \$360,000 \$800 \| \| Section 409 employee stock ownership plan subject to 5-Year distribution period: Maximum balance Amount used to determine the lengthening of the 5-year period \| \$1,415,000 \$280,000 \| \$1,455,000 \$290,000 \| 1 Eligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information. ### Employee contribution limits - Maximum elective deferral limit: \$24,500 - Applies to the total of pretax and Roth contributions - Payroll integration helps stop contributions once the cap is reached ### Contribution limits over 50 Employees aged 50 and older can contribute additional funds beyond the standard limit. - Standard catch-up limit (age 50+): \$8,000 - Super catch-up (ages 60 to 63): \$11,250 - Beginning in 2026, [SECURE 2.0](https://www.adp.com/what-we-offer/benefits/retirement/secure-2.aspx) requires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above \$150,000) ### Employer contribution limits Employers can add to employee savings through matches or profit-sharing. - Total combined employer and employee contribution limit: the lesser of 100% of compensation or \$72,000 - With catch-up included: \$80,000 (age 50+) and \$83,250 (age 60 to 63) - Options like [safe harbor](https://www.adp.com/resources/articles-and-insights/articles/s/safe-harbor-401k.aspx) or qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance ## Individual retirement account (IRA) contribution limits In 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification. State rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings. - Traditional and Roth IRA contribution limit (2026): \$7,500 - Catch-up contribution (age 50+): \$1,100 - Roth IRA eligibility phases out at higher incomes ## 401(k) contribution limits for 2025 The 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement. - Maximum 401(k) contribution for 2025: \$23,500 employee deferral - Catch-up contribution (age 50+): \$7,500 - Super catch-up contribution (ages 60-63): \$11,250 under SECURE 2.0 - Total contribution limit: \$70,000, or \$77,500+ with catch-up (depending on age and employer contributions) HR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward. ### Contributions comparison: 2023-2026 \| Year \| Employee Deferral \| Catch-Up (50+) \| Total Contribution \| With Catch-Up \| \|---\|---\|---\|---\|---\| \| 2023 \| \$22,500 \| \$7,500 \| \$66,000 \| \$73,500 \| \| 2024 \| \$23,000 \| \$7,500 \| \$69,000 \| \$76,500 \| \| 2025 \| \$23,500 \| \$7,500 (ages 50–59) / \$11,250 (ages 60–63) \| \$70,000 \| \$76,500+ \| \| 2026 \| \$24,500 \| \$8,000 (ages 50–59) / \$11,250 (ages 60–63) \| \$72,000 \| \$80,000 (ages 50+) / \$83,250 (ages 60–63) \| ## Roth 401(k) contribution limits The Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to \$24,500 in total, whether the contributions are pretax, Roth or a mix of both. Integrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic [enrollment](https://www.adp.com/resources/articles-and-insights/articles/4/401k-employee-enrollment.aspx), managed elections and real-time contribution tracking. ## After-tax 401(k) contribution limits After-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach \$72,000, or more when catch-up contributions are included. ### Roth vs. after-tax contributions Roth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design. ## Starter 401(k) contribution limits Starter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits. - 2026 contribution limit: \$6,000 - Catch-up contribution (age 50+): \$1,100 - Limits are closer to IRA contribution levels ## Limits for highly compensated employees Highly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning \$160,000 or more. If a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit. ![](https://www.adp.com/-/media/adp/resourcehub/images/articles-revamp/401k-for-small-business-owners/401ksmallbusiness_cta1_300w_en.jpg?rev=a1e0dfc767c94daf97204fb6e7ecb9dd&hash=BE1BDE989D18939B433C0FA3B5D8DBF4) Help your people plan for peace of mind Get simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP. Get Started [Learn more about ADP's 401(k) plans](https://www.adp.com/what-we-offer/benefits/retirement/401k.aspx#tab-5cba89de-c47d-4a47-97ff-7fd90d1f7762-0) ## Frequently asked questions How much should an employer contribute to a 401k? Excess contributions must be corrected by the plan’s deadline, usually April 15 of the following year. If not, the excess may be taxed twice — once when contributed and again when withdrawn. ADP’s integrated payroll and retirement systems can help prevent this situation by automatically capping contributions at the IRS limit. How much should you contribute to your 401(k)? There isn’t a single number that works for everyone. Many employees aim to contribute enough to get the full employer match, then increase contributions as budgets allow. If additional contribution guidance is needed, employers can use resources within ADP’s retirement solutions to help employees make informed decisions. Should I max out my 401(k)? Maxing out works well for some employees, but others may prefer to balance 401(k) savings with IRAs or other financial goals. For more educational resources explaining contribution strategies in the simplest terms, employers can turn to ADP’s [retirement plan services](https://www.adp.com/what-we-offer/benefits/retirement.aspx). What is the 401(k) catch-up limit for 2025? In 2026, employees age 50 and older can contribute an additional \$8,000. Those ages 60–63 qualify for a higher “super catch-up” of \$11,250. Beginning in 2026, high earners must make all catch-up contributions on a Roth basis. ![Chris Magno](https://www.adp.com/-/media/adp/resourcehub/images/authors/author-chris-magno-250w.jpg?rev=ea81fd9afc6b4aec9d787f4e1e33fe54&la=en&h=250&w=250&hash=EEF041BA74BDC28C20729ABF89C19FB1) [Chris Magno](https://www.adp.com/resources/authors/c/chris-magno.aspx) Senior Vice President, General Manager, ADP Retirement Services Chris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies. Want more exclusive business insights like this delivered to your inbox?[Subscribe now](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) M-816042-2025-10-08 ADP Inc. owns and operates the [ADP.com](https://www.adp.com/) website. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member [FINRA](https://www.finra.org/), an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and/or investment options available in any ADP retirement products. ### Drive employee engagement with flexible retirement options [Get Started](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) [Learn More](https://www.adp.com/what-we-offer/benefits/retirement.aspx) ![](https://www.adp.com/-/media/adp/resourcehub/images/articles-revamp/setting-up-a-401k/settingupa401k_rightrail_426w_en.jpg?rev=3da3a90359984a39a97ccefbf8cc788e&hash=47FEBF0C4DC5BD2A8B46759804602683) ## Find the retirement plan that's right for your business Partner with ADP Retirement Services to access a team of dedicated retirement professionals who will help you review and understand your options. ![](https://www.adp.com/-/media/adp/resourcehub/images/articles-revamp/401k-for-small-business-owners/401ksmallbusiness-icon1.svg?rev=fa571e0056ff468ebfad94438731a640&la=en&hash=CC565A2DE6A5FDCE88439C1C39312899) See our retirement services Keep employees engaged and informed with our advanced technology and easy administration. [Launch demo](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) ![](https://www.adp.com/-/media/adp/resourcehub/images/articles-revamp/401k-for-small-business-owners/401ksmallbusiness-icon2.svg?rev=329aa6fe944b4c228aa8def1364846a0&la=en&hash=C9D06C68B3DE076E934BDC3377B3696A) 401(k) plans for every business See how ADP can help you create a retirement plan that is smart and easy for your business. [Explore plans](https://www.adp.com/what-we-offer/benefits/retirement/401k.aspx#tab-5cba89de-c47d-4a47-97ff-7fd90d1f7762-0) Get Started Related resources ![](https://www.adp.com/-/media/adp/resourcehub/rh2/images/insight/thumb/resourcecard_retirementstrategies_586w_en.jpg?rev=d4911e6bd70548a88c3333981873abaf&la=en&h=294&w=586&hash=A4232B1553BB20DE5A7A3E044866FEAD) insight ## Retirement strategies [Read now](https://www.adp.com/resources/articles-and-insights/articles/r/retirement-strategies.aspx) ![](https://www.adp.com/-/media/adp/resourcehub/rh2/images/insight/thumb/401kforfeituresthumbnail586wen.jpg?rev=b681149a068545dba47537f6eb121876&la=en&h=294&w=586&hash=F358B047528D92C6506D820B859E7A40) insight ## 401(k) forfeiture accounts [Read now](https://www.adp.com/resources/articles-and-insights/articles/4/401k-forfeiture.aspx) ![](https://www.adp.com/-/media/adp/resourcehub/rh2/images/insight/thumb/smallbusinessretirementplans_thumbnail.jpg?rev=f94f98b31e35499a9cdaab906c367863&la=en&h=294&w=586&hash=F91C411B39D428A6845433E38C2EC498) insight ## Retirement plan examples for small businesses [Read now](https://www.adp.com/resources/articles-and-insights/articles/s/small-business-retirement-plans.aspx) ## Get pricing specific to your business Your [privacy](https://www.adp.com/privacy.aspx) is assured. Close Modal Stay up to date Get exclusive business insights delivered straight to your inbox. Your [privacy](https://www.adp.com/privacy.aspx) is assured. Close Modal - [Contact Us](https://www.adp.com/contact-us/customer-service.aspx) - [Talk to Sales — 800-225-5237](tel:8002255237) - [Get Support](https://www.adp.com/contact-us/customer-service.aspx) - [Sign In](https://signin.adp.com/) - [What We Offer](https://www.adp.com/what-we-offer.aspx) - [Payroll](https://www.adp.com/what-we-offer/payroll.aspx) - [Time and Attendance](https://www.adp.com/what-we-offer/time-and-attendance.aspx) - [Talent](https://www.adp.com/what-we-offer/talent.aspx) - [Benefits](https://www.adp.com/what-we-offer/benefits.aspx) - [HR Services](https://www.adp.com/what-we-offer/hr-services.aspx) - [HR Outsourcing and PEO](https://www.adp.com/what-we-offer/hr-outsourcing-and-peo.aspx) - [Integrations](https://www.adp.com/what-we-offer/integrations.aspx) - [App Marketplace](https://www.adp.com/what-we-offer/marketplace.aspx) - [Products by Name](https://www.adp.com/what-we-offer/products.aspx) - [Who We Serve](https://www.adp.com/who-we-serve.aspx) - [Business Size](https://www.adp.com/who-we-serve/by-business-size.aspx) - [Industries](https://www.adp.com/who-we-serve/by-industry.aspx) - [Partners](https://www.adp.com/who-we-serve/by-partner.aspx) - [Resources](https://www.adp.com/resources.aspx) - [Small Business Resources](https://www.adp.com/resources/small-business.aspx) - [Midsized & Enterprise Business Resources](https://www.adp.com/resources/midsized-enterprise.aspx) - [Tools](https://www.adp.com/resources/tools.aspx) - [Webinars & Events](https://www.adp.com/resources/events.aspx) - [About ADP](https://www.adp.com/about-adp.aspx) - [Worldwide Locations](https://www.adp.com/worldwide-locations.aspx) - [Careers](https://jobs.adp.com/?rb=ADP_COM) - [Corporate Social Responsibility](https://www.adp.com/about-adp/corporate-social-responsibility.aspx) - [Awards and Recognition](https://www.adp.com/about-adp/awards-and-recognition.aspx) - [Leadership](https://www.adp.com/about-adp/leadership.aspx) - [Data Security](https://www.adp.com/about-adp/data-security.aspx) - [Data Privacy](https://www.adp.com/about-adp/data-privacy.aspx) - [Artificial Intelligence](https://www.adp.com/what-we-offer/ai-solutions.aspx) - [ADP Ventures](https://ventures.adp.com/) - [Investors](https://investors.adp.com/) - [Media](https://mediacenter.adp.com/) [![logo](https://www.adp.com/-/media/adp/redesign2018/ui/logo-adp-fy19.svg?rev=0769ecbf84a9412a93e2cd52b7319a13&hash=C2451A542096BF16BC40698417D5A6FD)](https://www.adp.com/) [All Worldwide Locations](https://www.adp.com/worldwide-locations.aspx) - [ADP Facebook Page](https://www.facebook.com/AutomaticDataProcessing/) - [ADP X (Twitter) Page](https://twitter.com/adp) - [ADP YouTube Channel](https://www.youtube.com/user/adp) - [ADP LinkedIn Page](https://www.linkedin.com/company/adp) - [Terms](https://www.adp.com/legal.aspx) - [Site Map](https://www.adp.com/site-map.aspx) - [Privacy](https://www.adp.com/privacy.aspx) - [Modern Slavery Statement](https://www.adp.com/modern-slavery-statement.aspx) - [Web Accessibility Statement](https://www.adp.com/web-accessibility-statement.aspx) ADP and the ADP logo are registered trademarks of ADP, Inc. All other marks are the property of their respective owners. Copyright © 2026 ADP, Inc. Automatic Data Processing Insurance Agency, Inc. (ADPIA) is an affiliate of ADP, Inc. All insurance products will be offered and sold only through Automatic Data Processing Insurance Agency, Inc., its licensed agents or its licensed insurance partners; 1 ADP Blvd., Roseland, NJ 07068. CA license \#0D04044. Licensed in 50 states. Certain services may not be available in all states. [Talk to Sales](<tel:\<a href="tel:8002255237"\>800-225-5237\</a\>>) [Call Support](tel:18442275237) ![](https://www.adp.com/-/media/adp2025/ui/icn-nav-call.svg?rev=2b45138dde9b44368b7aaf34bf652ce0&hash=F82797CC6571BEA58E0596142F478AAD)Call [![](https://www.adp.com/-/media/adp2025/ui/icn-nav-chat.svg?rev=d7c44f6f841b40e4b856fbd0d3d9baa5&hash=ED53F012A6ECBF2AA19D98B9CA076F74)Chat](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) ![](https://www.adp.com/-/media/adp2025/ui/icn-nav-search.svg?rev=9b682a2d54ba455085d5be82ce9e23b5&hash=B7F3B58F393A98F27F4678D1C1676DD3)Search [![](https://www.adp.com/-/media/adp2025/ui/icn-nav-login.svg?rev=859ed006f02f489c81e1aff184ff58ed&hash=A246F6DF5E97A375585208326F669BA7)Sign In](https://signin.adp.com/) Close Message Hi there, what brings you here today? Cookie settings ![](https://myadp.my.site.com/ESWADPAssist1761568078940vforcesite/sfsites/c/resource/adpAssistChatLogo)
Readable Markdown	insight - [Retirement Services](https://www.adp.com/what-we-offer/benefits/retirement.aspx) - 401(K) Contribution Limits Every January brings a reset – new [401(k)](https://www.adp.com/what-we-offer/benefits/retirement/401k.aspx) contribution limits that shape how employees save and how organizations meet their fiduciary responsibilities. These numbers set the guardrails for [compliance](https://www.adp.com/resources/articles-and-insights/articles/4/401k-compliance.aspx), plan design and [employee engagement](https://www.adp.com/resources/articles-and-insights/articles/e/employee-engagement.aspx). Table of Contents - [What are contribution limits?](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p1) - [401(k) contribution limits for 2026](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p2) - [Individual retirement account (IRA) contribution limits](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p3) - [401(k) contribution limits for 2025](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p4) - [Roth 401(k) contribution limits](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx#p5) ## What are contribution limits? Contribution limits are caps on how much employees and employers can contribute to a 401(k) plan each year. The IRS updates these figures annually to keep pace with inflation and cost-of-living changes. The impact is widespread, affecting employee deferrals, [employer matches](https://www.adp.com/resources/articles-and-insights/articles/4/401k-match.aspx) and plan funding — all of which tie directly to compliance and testing requirements. As such, understanding 401(k) contribution limits is an essential fiduciary responsibility for HR leaders and plan sponsors. ## 401(k) contribution limits for 2026 The 401(k) contribution limits for 2026 cover: - How much employees can save through elective deferrals - How catch-up contributions work for those age 50 and older - How employer contributions fit into the total For HR leaders, knowing the limits is only part of the job. The next step is to ensure they’re applied accurately in payroll and plan administration. Doing so with the aid of [retirement solutions that integrate with payroll](https://www.adp.com/resources/articles-and-insights/articles/4/401k-integration.aspx) can help reduce errors and support daily compliance. ### Contribution limits at a glance The table below outlines the key IRS plan contribution limits for 2025 and 2026, including employee deferrals, employer contributions and other qualified plan thresholds. Use this as a quick reference for annual planning, compliance and employee communication. \| Plan maximum contribution limits \| 2025 \| 2026 \| \|---\|---\|---\| \| Section 401(k) or section 403(b) plan deferral limits \| \$23,500 \| \$24,500 \| \| Catch up contributions for employees age 501 \| \$7,500 \| \$8,000 \| \| Section 408(p)(2)(E) SIMPLE IRA plan \| \$16,500 \| \$17,000 \| \| SIMPLE IRA age 50+ catch up contributions \| \$3,500 \| \$4,000 \| \| Section 457(e)(15) deferral limit (for deferred compensation plans of state and local governments and tax-exempt organizations) \| \$23,500 \| \$24,500 \| \| Section 415 limit for: Defined contribution plans Defined benefits plans \| \$70,000 \$280,000 \| \$72,000 \$290,000 \| \| Highly compensated employees section 414(q)(1)(B) \| \$160,000 \| \$160,000 \| \| Key employee section 416(i)(1)(A)(i) \| \$230,000 \| \$235,000 \| \| Includible compensation: Section 401(a)(17) SEP compensation SEP earnings threshold \| \$350,000 \$350,000 \$750 \| \$360,000 \$360,000 \$800 \| \| Section 409 employee stock ownership plan subject to 5-Year distribution period: Maximum balance Amount used to determine the lengthening of the 5-year period \| \$1,415,000 \$280,000 \| \$1,455,000 \$290,000 \| 1 Eligible employees who have reached age 50 or older in a year may make additional contributions to the plan. Applicable to 401(k), 403(b) and some 457 plans. Participants in 403(b) plans may have other catch-up contributions available, such as if they have 15 years of service. Consult a financial, tax or legal professional for more information. ### Employee contribution limits - Maximum elective deferral limit: \$24,500 - Applies to the total of pretax and Roth contributions - Payroll integration helps stop contributions once the cap is reached ### Contribution limits over 50 Employees aged 50 and older can contribute additional funds beyond the standard limit. - Standard catch-up limit (age 50+): \$8,000 - Super catch-up (ages 60 to 63): \$11,250 - Beginning in 2026, [SECURE 2.0](https://www.adp.com/what-we-offer/benefits/retirement/secure-2.aspx) requires catch-up contributions for high earners to be made on a Roth basis (applies to individuals with prior-year wages above \$150,000) ### Employer contribution limits Employers can add to employee savings through matches or profit-sharing. - Total combined employer and employee contribution limit: the lesser of 100% of compensation or \$72,000 - With catch-up included: \$80,000 (age 50+) and \$83,250 (age 60 to 63) - Options like [safe harbor](https://www.adp.com/resources/articles-and-insights/articles/s/safe-harbor-401k.aspx) or qualified automatic contribution arrangement (QACA) designs help maximize employer contributions while supporting compliance ## Individual retirement account (IRA) contribution limits In 2026, IRAs allow smaller contributions than 401(k)s, but they give flexibility and additional diversification. State rules on the taxation of IRA withdrawals may vary, so employees should be aware of regional differences when planning long-term savings. - Traditional and Roth IRA contribution limit (2026): \$7,500 - Catch-up contribution (age 50+): \$1,100 - Roth IRA eligibility phases out at higher incomes ## 401(k) contribution limits for 2025 The 401(k) contribution limits for 2025 increased again, reflecting the IRS’s annual inflation adjustments, and helping employees save more for retirement. - Maximum 401(k) contribution for 2025: \$23,500 employee deferral - Catch-up contribution (age 50+): \$7,500 - Super catch-up contribution (ages 60-63): \$11,250 under SECURE 2.0 - Total contribution limit: \$70,000, or \$77,500+ with catch-up (depending on age and employer contributions) HR leaders often structured plans with safe harbor or traditional 401(k) designs to help employees maximize these limits while keeping compliance straightforward. ### Contributions comparison: 2023-2026 \| Year \| Employee Deferral \| Catch-Up (50+) \| Total Contribution \| With Catch-Up \| \|---\|---\|---\|---\|---\| \| 2023 \| \$22,500 \| \$7,500 \| \$66,000 \| \$73,500 \| \| 2024 \| \$23,000 \| \$7,500 \| \$69,000 \| \$76,500 \| \| 2025 \| \$23,500 \| \$7,500 (ages 50–59) / \$11,250 (ages 60–63) \| \$70,000 \| \$76,500+ \| \| 2026 \| \$24,500 \| \$8,000 (ages 50–59) / \$11,250 (ages 60–63) \| \$72,000 \| \$80,000 (ages 50+) / \$83,250 (ages 60–63) \| ## Roth 401(k) contribution limits The Roth option can be especially valuable for younger or lower-income employees who may benefit from paying taxes now and taking withdrawals tax-free later. The contribution limit for 2026 is the same as traditional 401(k) limits, which means plan participants can defer up to \$24,500 in total, whether the contributions are pretax, Roth or a mix of both. Integrated benefits platforms can make it easier for employers to offer and manage Roth 401(k) plans. Such embedded retirement plan technology may have helpful features, like automatic [enrollment](https://www.adp.com/resources/articles-and-insights/articles/4/401k-employee-enrollment.aspx), managed elections and real-time contribution tracking. ## After-tax 401(k) contribution limits After-tax contributions let employees save beyond the elective deferral cap, up to the annual total contribution limit. For 2026, the combined employee and employer contributions can reach \$72,000, or more when catch-up contributions are included. ### Roth vs. after-tax contributions Roth contributions are made with after-tax dollars and may be withdrawn tax-free during retirement. In contrast, the earnings on non-Roth, after-tax contributions are taxed when withdrawn. HR leaders and plan sponsors often work with a fiduciary financial advisor to decide how after-tax contributions fit into the overall 401(k) plan design. ## Starter 401(k) contribution limits Starter 401(k) plans were introduced under SECURE 2.0 to give small businesses a simpler way to offer retirement benefits. These plans are easier to administer than traditional 401(k)s but come with lower contribution limits. - 2026 contribution limit: \$6,000 - Catch-up contribution (age 50+): \$1,100 - Limits are closer to IRA contribution levels ## Limits for highly compensated employees Highly compensated employees (HCEs) face additional rules that limit how much they contribute to a 401(k). For 2025 and 2026, the IRS defines an HCE as anyone earning \$160,000 or more. If a plan fails nondiscrimination testing, HCE contributions may need to be reduced or refunded. This requirement creates both compliance challenges and frustration for employees who want to maximize savings. Safe harbor plan designs present a solution because they automatically meet testing requirements, allowing HCEs to contribute up to the full 401(k) limit. ![](https://www.adp.com/-/media/adp/resourcehub/images/articles-revamp/401k-for-small-business-owners/401ksmallbusiness_cta1_300w_en.jpg?rev=a1e0dfc767c94daf97204fb6e7ecb9dd&hash=BE1BDE989D18939B433C0FA3B5D8DBF4) Help your people plan for peace of mind Get simple, affordable, and easily customizable retirement plans backed by the experience and service of ADP. ## Frequently asked questions ![Chris Magno](https://www.adp.com/-/media/adp/resourcehub/images/authors/author-chris-magno-250w.jpg?rev=ea81fd9afc6b4aec9d787f4e1e33fe54&la=en&h=250&w=250&hash=EEF041BA74BDC28C20729ABF89C19FB1) [Chris Magno](https://www.adp.com/resources/authors/c/chris-magno.aspx) Senior Vice President, General Manager, ADP Retirement Services Chris Magno is responsible for the strategic direction of the business, which provides recordkeeping services for a wide range of retirement plan types to meet the needs of small, midsized and enterprise sized companies. Want more exclusive business insights like this delivered to your inbox?[Subscribe now](https://www.adp.com/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx) M-816042-2025-10-08 ADP Inc. owns and operates the [ADP.com](https://www.adp.com/) website. Unless otherwise disclosed or agreed to in writing with a client, ADP, Inc. and its affiliates (ADP) do not endorse or recommend specific investment companies or products. Please consult with your own advisors for such advice. Investment options are available through the applicable entity(ies) for each retirement product. Investment options in the “ADP Direct Products” are available through either ADP Broker-Dealer, Inc. (ADP BD), Member [FINRA](https://www.finra.org/), an affiliate of ADP, Inc., One ADP Blvd, Roseland, NJ 07068 or (in the case of certain investments) ADP, Inc. Only registered representatives of ADP BD may offer and sell ADP retirement products and services or speak to retirement plan features and/or investment options available in any ADP retirement products.
Shard	0 (laksa)
Root Hash	2949169215235785800
Unparsed URL	com,adp!www,/resources/articles-and-insights/articles/4/401k-contribution-limits.aspx s443