Retirement Plan Contribution Limits
Contributing to your workplace retirement plan can be your first step in your unique savings journey. Plus, pretax contributions to an employer’s tax-deferred plan can potentially help reduce your current taxable income while saving dollars for retirement that otherwise would have gone to pay taxes.
The table below shows the Internal Revenue Service maximum allowable contributions for most plan types, as well as a number of plan thresholds. For individuals contributing to multiple plans, the limits are not per plan but apply across all plans. 457(b) are independent of the other plan combined limits.
If you are eligible for a catch-up contribution, you can’t use both the 457(b) service-based catch-up provision and the age-based catch-up provision in the same year. However, you can use whichever is greater. Please note that the age-based catch-up provision is not available to participants in nongovernmental 457(b) plans.
Plan Type and Limitation | 2024 | 2025 |
|---|---|---|
403(b), 401(k) or SARSEP employee elective salary deferral limit | $23,000 | $23,500 |
457(b) deferral limit | $23,000 | $23,500 |
| $7,500 | $7,500 |
| 403(b), 457(b), 401(k), SARSEP age 60 to 63 catch-up limit2 [not applicable to nongovernmental 457(b) plans] | N/A3 | $11,250 |
403(b) service-based catch-up for employees with 15 or more years of service who work for a qualifying employer and have undercontributed in prior years | $3,000 | $3,000 |
457(b) service-based catch-up for employees who have undercontributed in prior years and are within the last three taxable years ending the year before the year they attain normal retirement age as specified under the plan 457(b) plan participants who are eligible for both the age-based and service-based contributions cannot combine the two catch-up amounts, but may contribute up to the higher amount | $23,000 | $23,500 |
Traditional and Roth IRA contribution limit | $7,000 | $7,000 |
Traditional and Roth IRA age 50 or older catch-up limit | $1,000 | $1,000 |
SIMPLE IRA salary deferral limit | $16,000 | $16,500 |
SIMPLE IRA age 50 or older catch-up | $3,500 | $3,500 |
Highly compensated minimum salary | $155,000 | $160,000 |
401(a)(17) compensation limit (the limit that may be considered under a tax-qualified plan unless grandfathered government plan) | $345,000 | $350,000 |
Defined contribution plan 415 limit (the limit on total employer and employee contributions, whether elective or not) | $69,000 | $70,000 |
Defined benefit plan 415 limit | $275,000 | $280,000 |
Social Security wage base | $168,600 | $176,100 |
| 1Limitation under section 414(v)(2)(B)(i) for catch-up contributions to an applicable employer plan other than a plan described in section 401(k)(11) or section 408(p). 2Limitation under section 414(v)(2)(E)(i) for catch-up contributions to an applicable employer plan other than a plan described in section 401(k)(11) or section 408(p). 3New contribution limit in 2025, increases the catch-up contributions for individuals age 60-63 to 150% of the regular catch-up amount. | ||
RO# 3979724 (11/2024)