The 401(k) contribution limits are increasing in 2025. This means employees can save more for retirement and get more tax savings. A new rule from the SECURE 2.0 Act will let some people contribute even more.
It’s called the super catch-up contribution. Catch-up contributions are for people age 50 and older. They can contribute an extra $7,500 in 2025.
This makes the total limit $31,000. But the super catch-up is for people ages 60 to 63. They can contribute an extra $11,250 instead of $7,500.
Higher limits for 401(k) savings
This is 150% of the regular catch-up amount. Taking advantage of the super catch-up in 2025 is a good idea for those who can.
People in their early 60s are often at their peak earning years. Putting more in a 401(k) helps them save on taxes. In 2026, high earners will have to put catch-up money in a Roth account.
This is less appealing for them. A Roth is better than a regular account for people over 59 1/2 though. The higher catch-up limit is a great chance to boost retirement savings.
Those who are eligible should consider contributing the max amount in 2025.
