New 401(k) Contribution Limits for 2025: What You Should Know

Reported 12 days ago

Starting in 2025, a new higher catch-up contribution limit for 401(k) plans will allow savers aged 60 to 63 to contribute up to $34,750, potentially reshaping retirement savings strategies for many. This increase is part of the SECURE 2.0 Act, which significantly alters retirement savings rules and offers enhanced saving options for those nearing retirement. Understanding these changes is crucial for employees, especially higher earners, as new Roth contribution requirements may come into effect in 2026.

Source: YAHOO

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