401(k) limit, 2027 (projected)
$25,500
$24,500 in 2026
With 50+ catch-up
$34,000
$32,500 in 2026
Turning 60 to 63
$37,250
$35,750 in 2026
Every two weeks to max
$980.77
$942.31 in 2026
2027 figures are Marsh's projection of September 14, 2026, not IRS figures. 2026 limits from IRS IR-2025-111.
See what your contribution and match add up to
Your salary, contribution rate and employer match, with the tax saving this year.
2027 401(k) and IRA limits against 2026
| Limit | 2026 | 2027 (projected) |
|---|---|---|
| Employee contributions (401(k), 403(b), 457) | $24,500 | $25,500 |
| Catch-up, age 50 and over | $8,000 | $8,500 |
| Catch-up, turning 60 to 63 (instead of the above) | $11,250 | $11,750 |
| Total with 50+ catch-up | $32,500 | $34,000 |
| Total with 60 to 63 catch-up | $35,750 | $37,250 |
| Employee plus employer, all additions (415(c)) | $72,000 | $75,000 |
| Roth catch-up wage threshold (prior-year FICA wages) | $150,000 | $155,000 |
| Highly compensated employee threshold | $160,000 | $170,000 |
| Compensation a plan can count | $360,000 | $375,000 |
| IRA (traditional and Roth combined) | $7,500 | Not yet known |
| IRA catch-up, age 50 and over | $1,100 | Not yet known |
Sources: IRS IR-2025-111 for 2026; Marsh 2027 projection for 2027. The 403(b) and governmental 457(b) limits match the 401(k) limit.
How the IRS sets the 2027 401(k) limit
The limits follow inflation. The IRS compares the consumer price index (CPI-U) for July to September 2026 with the same quarter of the base year, applies the increase to the original dollar limits, and rounds down to the nearest $500 for the 401(k) and catch-up limits. That rounding is why the limit moves in $500 or $1,000 steps and some years not at all.
Because the calculation needs September's CPI, published in mid-October, no one can be certain before then. Marsh's projection uses actual CPI through August and an estimate for September. It says the 401(k) limit and the 50+ catch-up would each come in $500 lower only if September inflation is very low, under 0.034% for the month. So $25,500 is the likely figure and $25,000 the fallback.
For 2026 the limit rose $1,000. A $1,000 rise for 2027 means about $38.46 more per paycheck if you are paid every two weeks and want to max out.
How much to contribute per paycheck to max out your 401(k) in 2027
Divide your limit by your number of paychecks. If your plan takes a percentage, divide by your gross pay per check too. Set the new amount before your first January paycheck, because most plans won't do it for you.
| Pay frequency | Under 50 $25,500 a year | 50 to 59, or 64 and over $34,000 a year | Turning 60 to 63 in the year $37,250 a year |
|---|---|---|---|
| Weekly (52) | $490.38 | $653.85 | $716.35 |
| Every two weeks (26) | $980.77 | $1,307.69 | $1,432.69 |
| Twice a month (24) | $1,062.50 | $1,416.67 | $1,552.08 |
| Monthly (12) | $2,125.00 | $2,833.33 | $3,104.17 |
Watch the match. Many employers match each paycheck, not the year. If you hit the limit in October, you get no match in November and December unless your plan has a year-end “true-up”. Spreading contributions across all paychecks avoids that.
2027 catch-up contributions: 50+, ages 60 to 63, and the Roth rule
Age 50 and over. If you turn 50 by December 31, 2027, you can add a projected $8,500 on top of the regular limit.
Ages 60 to 63. SECURE 2.0 gives a bigger catch-up, $11,750 projected, if you turn 60, 61, 62 or 63 during 2027. It replaces the 50+ amount rather than adding to it, and from the year you turn 64 you drop back to the standard catch-up. Plans don't have to offer it, so check with your provider (IRS catch-up rules).
The Roth rule for higher earners. If your FICA wages from your employer were above $150,000 in 2025, your 2026 catch-up has to be Roth. For 2027 the test is your 2026 wages against a projected $155,000. Roth means no tax deduction now, so the catch-up costs you more take-home today. FICA wages are the Social Security wages on your W-2 (box 3), not your total pay.
What maxing out your 401(k) saves in federal tax in 2027
Federal income tax saved by contributing the full $25,500 pre-tax, using projected 2027 brackets and the standard deduction. PayMetric Labs' own modeled estimate; state tax savings come on top in most states.
| Wages and status | Federal tax saved | Top rate before and after |
|---|---|---|
| $60,000, single | $3,060 | 12% to 12% |
| $100,000, single | $5,610 | 22% to 22% |
| $150,000, single | $6,096 | 24% to 22% |
| $200,000, married filing jointly | $5,610 | 22% to 22% |
The saving is your top rate on the money you defer, so it grows with income until your contribution starts pulling you down a bracket, as it does for a single filer on $150,000. A pre-tax 401(k) does not reduce Social Security or Medicare tax: the money you defer is still taxed for FICA (see our federal tax and FICA guide). The 2027 tax brackets page shows where each rate starts.
Before your first 2027 paycheck
- Use open enrollment to set your 2027 contribution as a dollar amount or percentage that reaches the new limit across every paycheck.
- Turning 50, or 60 to 63, in 2027? Add the catch-up from January; you don't have to wait for your birthday.
- Earned over the Roth threshold in 2026? Check your plan offers Roth, or your catch-up stops.
- Changing jobs? Keep a note of what you contributed at the old employer so you don't go over the limit.
- Check whether your employer matches per paycheck or has a year-end true-up before front-loading contributions.
401(k) limit 2027: questions
What is the 401(k) limit for 2027?
The IRS hasn't announced it yet; it usually does in late October or early November. Marsh projects $25,500, up $1,000 from $24,500 in 2026. If September inflation turns out very low, the limit would be $25,000 instead.
What is the 401(k) catch-up limit for 2027?
Projected: $8,500 extra if you are 50 or over (a total of $34,000), and $11,750 extra instead if you turn 60, 61, 62 or 63 during 2027 (a total of $37,250). At 64 you go back to the standard 50+ catch-up.
Do I have to make catch-up contributions as Roth in 2027?
Only if your FICA wages from that employer in 2026 were above the threshold, projected at $155,000 for 2027 ($150,000 for 2026). Then your catch-up has to go in as Roth: no tax break now, tax-free later. Your regular $25,500 can still be pre-tax. If your plan has no Roth option, it can't offer you catch-up contributions at all.
Why does my plan stop me below the IRS limit?
Three common reasons. Your plan may cap contributions at a percentage of pay, such as 50% or 75%. If you are a highly compensated employee, the plan may limit you so it passes the IRS nondiscrimination tests, or refund some contributions after the year ends. And if you joined mid-year, payroll may simply not have enough paychecks left at your current percentage. Check your plan's summary plan description.
I have two jobs. Do I get two 401(k) limits?
No. The employee limit of $25,500 is per person across every 401(k), 403(b) and SIMPLE plan you contribute to in the year, so a mid-year job change counts too. Tell your new employer what you have already put in. Employer contributions are separate and count against the $75,000 annual additions limit for each unrelated employer.
Does the IRA limit go up in 2027 too?
Not certain. The IRA limit is $7,500 in 2026 with a $1,100 catch-up. It only moves in $500 steps, and forecasters disagree on whether 2027 inflation is enough for the next one. We will add the official figure when the IRS publishes it.
When do the 2027 limits start?
With the first paycheck dated in 2027. Contributions count toward the year you are paid, not the year you worked, so a paycheck for late December work that arrives on January 2 uses the 2027 limit. Most payroll systems don't raise your percentage for you: to reach the higher limit, you change your election.
Is it worth maxing out a 401(k)?
Always take the full employer match first, because it is an immediate return on your money. Beyond that, a pre-tax contribution saves your top federal rate now: about $5,610 of federal income tax on $25,500 for a single person earning $100,000 in 2027 (PayMetric Labs' own modeled estimate). You still pay Social Security and Medicare on it, and the money is locked up until 59½ with limited exceptions.
Methodology and limits
2026 limits come from the IRS release of November 13, 2025 (IR-2025-111, Notice 2025-67) and the IRS COLA table. Until the IRS announces, 2027 figures are the Marsh projection of September 14, 2026, based on CPI-U through August and an estimated September value. Marsh gives no IRA projection, so the table shows none. Checked October 12, 2026.
Tax savings are regular federal income tax on wages after the standard deduction, with projected 2027 brackets, and leave out credits, itemized deductions, state tax and FICA. This is general information, not tax or investment advice.